Latest news with #CreditAccessGrameenLimited
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Business Standard
2 days ago
- Business
- Business Standard
CA Grameen raises $100 mn via multi-currency syndicated loan facility
CreditAccess Grameen Limited announced on Tuesday that it has raised $100 million through a social loan from international banks, in a first-of-its-kind multi-currency loan raised in Japanese yen and US dollars. The transaction came under the external commercial borrowing (ECB) route of the Reserve Bank of India (RBI), which means the bank did not require any approval from the central bank. The funding comes through a syndicated loan facility, meaning multiple banks pooled in to provide the loaned amount. Most of these banks are from South Asia and Far East Asia. The company initially planned to raise $70 million, but amid oversubscription from seven banks, the amount was increased to $100 million. 'The social loan shall adhere to CA Grameen's Social Loan Framework, which aligns with the Social Loan Principles 2023, stipulating the use of proceeds, social development goals, and governance, according to the Loan Market Association,' the company said in a statement. Nilesh Dalvi, Chief Financial Officer, CreditAccess Grameen, said that the borrowing cost in this transaction is highly competitive, lower than their average cost. 'It is deeply affirming to close our second syndicated social loan facility, and notably, the first in a multi-currency form, amounting to $100 million. The all-in borrowing cost of this transaction is highly competitive, comparable to domestic borrowing rates, and lower than our average cost of borrowing,' he said. 'We are confident of building on this momentum towards our dedicated target of 25–30 per cent foreign borrowings by FY28 to achieve geographic diversification, enhanced ALM position, and robust liability profile,' he added. Surya Bagchi, Global Head - Financing Solutions, Standard Chartered Bank, said the loan was structured to facilitate the first-time lenders to CreditAccess Grameen. 'The syndicated term loan was structured to meet their bespoke requirements and our well-crafted, intensive syndication process enabled us to successfully complete bookbuilding using first-time lenders to CA Grameen - a testament to our deep understanding of the international syndication markets,' he said.
Business Upturn
2 days ago
- Business
- Business Upturn
CreditAccess Grameen secures $100 million multi-currency syndicated social loan facility
By Aman Shukla Published on June 10, 2025, 16:23 IST CreditAccess Grameen Limited (NSE: CREDITACC, BSE: 541770), India's largest NBFC-MFI, has successfully raised a USD 100 million multi-currency syndicated social loan facility. This landmark transaction marks a pioneering moment in the Indian microfinance sector as the first-ever social loan facility qualifying as an External Commercial Borrowing (ECB) under the automatic route of the Reserve Bank of India (RBI). The facility, denominated in Japanese Yen (JPY) and United States Dollars (USD), was secured primarily from leading banks across South Asia and the Far East. It reflects growing international investor confidence in CA Grameen's strong ESG (Environmental, Social, and Governance) credentials and its mission-driven operations. This is the second syndicated loan arranged by Standard Chartered Bank for CA Grameen. The bank had previously led the Company's $200 million ECB in 2023. This new social loan strictly adheres to CA Grameen's Social Loan Framework, aligned with the globally recognized Social Loan Principles 2023, and has been validated by Sustainalytics for its credibility and developmental impact. Initially launched with a base size of USD 70 million in November 2024, the offering saw robust interest and was oversubscribed, closing at USD 100 million from a consortium of seven banks. Notably, the funding includes significant commitments from Japanese and Korean financial institutions. Proceeds from the facility will be allocated to eligible social impact projects, further empowering CA Grameen's efforts to support underserved communities and promote sustainable, inclusive growth across India. Aman Shukla is a post-graduate in mass communication . A media enthusiast who has a strong hold on communication ,content writing and copy writing. Aman is currently working as journalist at
