SKS Microfinance completes fresh securitisation worth $15.8M

Public-listed microlender SKS Microfinance Ltd has completed a securitisation worth Rs 95.50 crore (around $15.8 million), according to a disclosure filed by the company on BSE.

This is the fourth securitisation in this month and 12th during this financial year by SKS. With this new tranche, SKS has completed securitisation worth Rs 1,656.46 crore since April 2013.

"The entire pool qualifies for priority sector treatment as per RBI's priority sector lending guidelines. The pool is rated AA (SO) by a leading rating agency signifying a 'high degree of safety regarding timely servicing of financial obligations'. Such instruments carry a very low credit risk," the company said in the filing.

The microfinance institution completed three more securitisation deals worth Rs 26.73 crore, Rs 80.30 crore and Rs 183.02 crore, respectively, early this month.

In February too it had secured three securitisation deals worth Rs 543.54 crore after starting the new calendar year with one securitisation worth Rs 55.56 crore. 

Previously it completed three securitisation deals worth around Rs 351 crore in December 2013 after tying the first transaction worth Rs 321 crore in September 2013.

WestBridge Capital-backed SKS Microfinance, the only listed micro-lender, operates across 16 states, including Karnataka, Maharashtra, Odisha, Madhya Pradesh, Bihar, Uttar Pradesh, Rajasthan, Uttarakhand, Haryana, West Bengal, Jharkhand, Chhattisgarh, Kerala, Punjab and Delhi.

(Edited by Joby Puthuparampil Johnson)

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