SKS Microfinance today said it has raised Rs 200 crore by selling loans to a state-run bank through a securitisation deal.
This is the first major deal in the troubled microfinance sector after the Reserve Bank issued revised securitisation guidelines for non-banking finance companies in August.
As part of the deal, SKS, which is the only listed MFI, said, it has downloaded the receivables from micro-loans extended to over 2.60 lakh rural women to a special purpose vehicle and pass through certificates, have been purchased by a public sector bank. The name of the bank is not revealed.
Late September, leading micro-loan player Basix sold as much as 92 per cent of its stake to a consortium of 19 banks led by Sidbi in a Rs 652-crore debt recast deal, which involved conversion of Rs 500 crore of this debt into equity.
“The present transaction generates liquidity of Rs 200 crore for SKS and also brings in concomitant capital relief,” said its chief financial officer S Dilli Raj said in the statement.
Notably, 26 per cent of the pool is from the Scheduled Caste/Scheduled Tribe entrepreneurs, 16 per cent from minorities and the remaining 58 per cent from women belonging to the Other Backward Castes, the company said.
The debt pool has an A1+ rating from Care and comprises receivables from 14 non-Andhra states.