Microfinance lender Satin Creditcare Network has raised Rs 332 crore from Dutch Entrepreneurial Development Bank FMO as it looks to continue the growth momentum it achieved last fiscal.
The funds are mobilised through issuance of non convertible debentures carrying five years of maturity.
The landed cost of the fundraising came around 10.5% a year, a person familiar with the matter told ET.
“This investment will play a pivotal role in amplifying our outreach and driving positive social change in the lives of our customers… The loan maturity will enhance our asset-liability management and strengthen our liquidity position,” Satin chairman HP Singh said.
This is the Delhi-based micro lender’s second transaction with FMO, following its initial collaboration in 2018 when the company raised Rs 213 crore in NCDs.
Satin’s assets under management grew 34% year-on-year to Rs 10593 crore as of the end of March. The lender is aiming to grow its portfolio by 25% in the current fiscal.
The lender disbursed Rs 9,691 crore during FY24, the highest in a year so far, while it added 6.3 lakh borrowers taking the total count to 34.7 lakh.
For the full FY24, Satin’s net profit stood at Rs 423 crore, representing a 60% rise. Its net interest margin for FY24 stood at 13.2%.
