Active Stocks
Thu Mar 28 2024 15:59:33
  1. Tata Steel share price
  2. 155.90 2.00%
  1. ICICI Bank share price
  2. 1,095.75 1.08%
  1. HDFC Bank share price
  2. 1,448.20 0.52%
  1. ITC share price
  2. 428.55 0.13%
  1. Power Grid Corporation Of India share price
  2. 277.05 2.21%
Business News/ Companies / News/  SKS Microfinance raises Rs214 crore through securitization
BackBack

SKS Microfinance raises Rs214 crore through securitization

This is the sixth securitization transaction for SKS Microfinance this year; the micro-lender has raised Rs1,782 crore in 2015-16

Photo: MintPremium
Photo: Mint

Hyderabad: SKS Microfinance Ltd has raised 214 crore through securitization, the company said on Thursday. With this transaction, the micro-lender has raised 1,782 crore in 2015-16.

This is the sixth such securitization transaction for the company this year. Through this way, companies raise funds by guaranteeing part of the loan book portfolio with financial institutions. Typically, around 10% of the funds raised is wiped from the loan books of a company.

“The entire pool qualifies for priority sector treatment as per the Reserve Bank of India’s guidelines. The pool has been rated AA (SO) by a leading rating agency, signifying a ‘high degree of safety regarding timely servicing of financial obligations’. Such instruments carry a very low credit risk," SKS said in a statement.

Earlier this month, SKS raised 216 crore through this route.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

Catch all the Corporate news and Updates on Live Mint. Download The Mint News App to get Daily Market Updates & Live Business News.
More Less
Published: 17 Mar 2016, 10:36 AM IST
Next Story footLogo
Recommended For You
Switch to the Mint app for fast and personalized news - Get App

Chat with MintGenie