http://www.livemint.com/Companies/dLNBmSeNsOrnYgTmk8lcRJ/Satin-Creditcare-looks-to-raise-funds.html
Seems there is good demand for quality MFI in the investor community due to huge opp size ,v little NPAs inspite of lending without collateral and quality professionally qualified management a CA Mr HP Singh in case.The recent run up has also been v sharp
Few extracts from above new item
“We have shared our mandate with one fresh venture capital investor and
one existing investor. A larger portion of the equity is likely to come
from fresh investors by February next year. Also, the tier II capital
will be in place by December this year,” said Vivek Tiwari, chief
operating officer, Satin Creditcare.
Existing investors in the company include Danish Microfinance Partners,
Microvest Capital Management, SBI Ven Capital and Shorecap. In 2013, Lok
Capital had sold its stake in Satin Creditcare.
The company has raised Rs.1,500 crore debt this fiscal year and in the next six months, would bring in Rs.2,300 crore through various banks. “The fresh funds would help us tap a 70%
growth in business and cross Rs 5,000 crore gross loan portfolio by next
year,” Tiwari said.
After the Reserve Bank of India granted small finance bank licences
to eight MFIs, the industry hopes the funding scenario would improve,
not just through banks but also the debt markets.
“The sector looks very promising now and is over the hump with strong
reinforcement and governance abilities. It’s not that investors are
suddenly chasing nor are they pulling out. From an equity point of view,
there seem to be more of private equity investor interests than venture
capitalists,” said Kshama Fernandes, chief executive of IFMR Capital,
which acts as structurer, arranger and investor for companies that lend
to the financially excluded.
But why the leader of pack SKS Microfinance falling like a brick inspite of giving stellar results ?
How come the NPAs are so less inspite of lending without collateral?Views invited.
Discl- As disclosed earlier recently invested @ 223
| Subscribe To Our Free Newsletter |
