Private Equity (PE) investors are said to be cautious in investing in micro finance institution (MFI) as is reflected in the fall in fund flows from these sources. The amount of PE deals in the MFI sector has been declining year after year with the calendar year 2012 witnessing only $104.5 million worth of deal compared to
$113.04 million in 2011 and $146 million in the previous year, data from VC Circle
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Tag: MFI
PE investment declines in micro finance sector
Some MFIs plan foray into banking sector
Chandra Shekhar Ghosh, Chairman and Managing Director of Bandhan Financial Services said the microfinance company would apply for a banking license with the Reserve Bank of India (RBI). Consulting firm Deloitte will advise the Kolkata-based microfinance company (MFI) on the application formality. The MFI has 45 branches and a customer base of 2.6 million in unbanked rural areas
Future plans to repay Rs 1.1 bn loan
G Dasaratha Reddy, Managing Director of Future Financial Services informed that the microfinance institution (MFI) plans to repay Rs 110 crore of loans restructured in 2011 and it is discussing the same with banks. If the plan materialises, this would be the first MFI in the country to opt out of corporate debt restructuring (CDR), nearly two years after it agreed to the exercise
Microfinance sector said to be attracting funds
Microfinance sector is said to be attracting funds from investors like private equity, venture capital funds as risk appetite in the sector improved. One of the reason for the return of investor confidence in the sector is the 40 per cent growth in the gross loan portfolio of NBFC-microfinance institutions (NBFC-MFIs) during 2012-13, sources said. For a long time after the Andhra Pradesh Ordinance of 2010, credit growth of MFIs remained
SKS gets Rs 31 bn funding inflow in FY13
The total incremental funding inflow received by SKS Microfinance in 2012-13 more than doubled to Rs 3,150 crore from Rs 1,434 core in 2011-12. The funding inflow in 2012-13 includes Rs 1,207 crore received through 12 securitisation transactions with seven funding partners, an incremental debt of Rs 1,68
Loan book of SKS may double in 2013-14
Some analysts expect the loan book of SKS Microfinance to double to Rs 3,000 crore by the end of 2013-14 from Rs 1,500 crore levels in 2012-13 even in the absence of fresh lending in Andhra Pradesh. The loan book of the company is expected to double on the back of its geographical expansion. The company has increased its presence in states such as UP, Rajasthan, Gujarat, amongst others and this may drive growth
Loan book of SKS may double in 2013-14
Some analysts expect the loan book of SKS Microfinance to double to Rs 3,000 crore by the end of 2013-14 from Rs 1,500 crore levels in 2012-13 even in the absence of fresh lending in Andhra Pradesh. The loan book of the company is expected to double on the back of its geographical expansion. The company has increased its presence in states such as UP, Rajasthan, Gujarat, amongst others and this may drive growth
Court allows SKS Microfin to resume business in AP
In an interim order, the Supreme Court allowed SKS Microfinance to resume microlending operations in Andhra Pradesh without securing a no-objection certificate from the state government. MFI operations in the state, by and large, came to a standstill after the state government introduced the Andhra Pradesh Micro Finance Institution (Regulation of Money Lending) Ordinance 2010
Grameen Koota receives equity funding of Rs 53.20 cr
Investment management firm Creation Investments, along with some other firms, provided equity capital of Rs 53.20 crore to the Bangalore-based microfinance institute Grameen Financial Services, popularly known as Grameen Koota. Other firms that provided the funding include specialised fund management company Incofin and social venture capital fund
SKS Microfinance to focus on profitability
In 2013-14, SKS Microfinance, the first and only listed microfinance institution (MFI) in India, hopes to post profit. MR Rao, Managing Director and Chief Executive Officer of the firm said the focus of the company was on profitable growth with efficiency and not just on scaling up.
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