Project detail - Satin Creditcare Network Limited

Satin Creditcare Network Limited

Status: Completed investment
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Disclaimer

The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.

Who is our customer

Satin Creditcare Network Limited was conceptualized and founded in 1990. In around 28 years since its inception, Satin today is India’s second largest MFI (as of Dec 2018) having started its journey with individual micro loans to urban shopkeepers. Today, the Company has an established, scalable and a sustainable business model. Satin offers its clients a variety of loan products under the MFI segment. As of September 2018, Satin had over 850 branches and a headcount of more than 9,000 employees across 19 states and union territories. Satin has a strong presence throughout Uttar Pradesh, Bihar, Madhya Pradesh, Punjab, Assam, West Bengal and Odisha and is a dominant player in other states of operations.

What is our funding objective?

Satin Creditcare Network Limited, will issue senior secured Non-Convertible Debentures CDs of ?213 crore (USD 30mln equivalent) to FMO for a tenure of 5 years. The funds raised will be used to further the growth of Satin’s microfinance portfolio.

Why do we fund this investment?

Our funding supports the growth of Satin’s microfinance portfolio which is primarily focused on women micro-entrepreneurs, both rural and urban, who find themselves at the base of the pyramid. As such, the facility fully contributes to FMO’s goal to support SDG 10 ‘Reduced Inequalities’.

What is the Environmental and Social categorization rationale?

E&S FI-C based on the nature (micro) of the portfolio. The company does not have exposure to activities on FMO’s exclusion list or IFC-PS triggered transactions. All transactions are screened in line with Satin’s exclusion list and in adherence to local law.

More investments

Date Total FMO financing
2/29/2024 INR 96.83 MLN
Region
Asia
Country
India
Sector
Financial Institutions
Effective date
12/11/2018
End date
3/14/2024
Total FMO financing
INR 2130.00 MLN
Funding
FMO NV
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk Environmental & Social Category
(A, B+, B or C)
C