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SKS Microfinance Ltd is planning to rope in foreign institutional investors for its proposed qualified institutional placement.
“It is possible to have 100 per cent foreign investment in the microfinance sector. We want to leverage this and take the foreign institutional investment component higher,'' Mr Dilli Raj, Chief Financial Officer, SKS Microfinance Ltd, told Business Line . The FIIs now have about 15.6 per cent stake in SKS while the company had provided for up to 24 pc of total stake for them.
It is now proposing to take the foreign institutional investors' limit up to 74 per cent after obtaining members approval in an extraordinary general meeting to be held later this month.
“Some foreign investors are showing interest in investing in SKS. Obtaining permission to increase in FII investment level is an enabling process for this,'' Mr Raj said.
The company plans to mobilise up to Rs 900 crore to fund its loan disbursals outside Andhra Pradesh.
On Friday, the stocks of SKS Microfinance increased by 4.97 per cent on the BSE to end at Rs 102.50.
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