MUMBAI: TPG, the global private equity firm, will lead a $100 million investment in Five Star Business Finance Limited, a Chennai based small business financing company. Existing investors Norwest Venture Partners , an investment fund managed by Morgan Stanley, and Sequoia Capital are investing alongside TPG Capital Asia.Five Star, a non-bank finance company, focuses on lending to the under-banked population, and the customers include small business owners such as single shop retailers like vegetable vendors, provision stores, food retailers and self-employed individuals. The company manages about Rs. 1220 crore in assets across more than 150 branches.“For many years, small enterprises across India have struggled to gain access to traditional financial systems due to their inability to meet formal requirements for credit. In South India and across the country, demand for funding continues to significantly outpace supply,” said Puneet Bhatia, Managing Partner at TPG Capital Asia.D. Lakshmipathy, Chairman and Managing Director, Five Star said, “In TPG we’ve found a partner that is fundamentally aligned with our mission to empower India’s under-banked segment. The firm has a long track record of partnering with financial services companies like us that are providing risk-focused, market-specific tools to help businesses grow.”TPG, a leading global alternative asset firm founded in 1992 with approximately $84 billion of assets under management, has a wide exposure in India. The financial services sector is a key focus area for TPG in India and Asia.In India, TPG invests through three platforms - TPG Capital Asia, TPG Growth and the Rise Fund. TPG Capital Asia invested in Janalakshmi Financial Services, Shriram Capital and Shriram City Union Finance and Manipal Hospitals. TPG Growth invested in BookMyShow, AGS Transact Technologies, Landmark group, Lenskart, Campus Activewear and Rise Fund invested in Dodla Diary and lead School.Last week, TPG Capital invested about $135 million to acquire about 40% stake in Hyderabad-based Sai Life Sciences.