 "Umesh Revankar, Executive vice-chairman, Shriram Finance")
Shriram Finance has completed a fundraise worth $425 million and €40 million ($43 million) through a syndicated term loan, the non-banking finance company (NBFC) informed the exchanges on Monday.
The company raised funds as a social loan to empower small entrepreneurs and vulnerable groups across India.
The fundraise follows closely on the heels of a previous transaction where the company raised $404 million.
The three-year external commercial borrowings (ECB) facility was structured as a social loan anchored by BNP Paribas (BNPP), DBS Bank (DBS), Hongkong and Shanghai Banking Corporation (HSBC), and Sumitomo Mitsui Banking Corporation (SMBC), who were the joint mandated lead arrangers and bookrunners and social loan coordinators for this facility.
“This marks the largest syndicated multi-currency transaction by a private sector non-banking finance company,” said Umesh Revankar, executive vice chairman of Shriram Finance Limited.
“This facility is labelled as a social loan, reflecting our commitment to social impact similar to our priority sector initiatives, with certain strict exclusions. The strong interest from the international investor community underscores the global confidence in our mission,” he said.
The NBFC, with assets under management (AUM) worth Rs 2.25 trillion, offers lending products across commercial vehicles, two-wheeler loans, car loans, home loans, and gold loans, among others.
