Shriram Finance announced on Friday that it had secured a $100 million five-year loan from the Asian Development Bank (ADB) to provide credit to its customers for the purchase of new and used vehicles across India.
Shriram Finance, which manages approximately Rs 1.71 trillion in assets, also announced earlier this year that it had raised $250 million from the US Development Finance Corporation and $475 million from the international market through a 144A Bond.
Shriram City Union Finance and Shriram Transport Finance have merged to form the lender.
The proceeds, according to the company, will be used for “commercial vehicle finance for BS VI compliant vehicles and electric vehicles,” as well as financial assistance to women entrepreneurs and underdeveloped countries.
On Thursday, new shares of the merged entity fell during their market debut.
Shriram Finance, the country’s largest retail NBFC, has declared an interim dividend of 150 per cent, or Rs. 15 per equity share with a face value of Rs. 10 each, for the fiscal year 2022-2023. Shriram Finance, a pioneer in the NBFC sector with a significant rural footprint, claimed to have more than 6.7 million private and corporate customers in India as of September 30th, 2022.
On Friday, the company’s stock closed 5.20 per cent higher at 1,379.80 on the BSE.
The company reported a promoter shareholding of 29.37 per cent and a public stake of 70.63 per cent for the quarter ended September, or Q2FY23. So far in 2022, the stock has gained 3.65 per cent year to date.
Categories: Other News