Satin Creditcare Network Limited Rights Issue (Satin creditcare Rights Issue) Detail

Incorporated in October 1990, Satin Creditcare Network Ltd. (SCNL) - (erstwhile known as Satin Leasing & Finance Ltd.) is a micro finance institution that provides prompt, hassle-free and affordable financial & community services to low-income households. SCNL is registered with the RBI as an NBFC-MFI. In May 2008, SCNL diversified and launched a rural micro finance vertical inspired by the Grameen Model. It provides collateral free, micro-credit facilities to economically active women in both rural and semi-urban areas, who otherwise have limited access to mainstream financial service providers. SCNL is a non-political, non-religious, no caste-based organization. The company is backed by 34.6 lakh customers, 1,383 branches, 397 districts and 23 states, with Assets under Management (AUM) of Rs. 8173.67 cr. as on March 31, 2020. The Company's operations are based on a Joint Liability Group (JLG) model that enables collateral-free, micro-credit facilities to economically active women in both rural and semi-urban areas. SCNL offers income-generating loan (IGL) products to its clients on the principle of Joint Liability Group (JLG) lending model or on an individual basis of lending, based on their repayment ability. The loans are used for a variety of economic activities and eventually help in increasing the income generating capacity of the borrowers. Employment, social welfare, and healthy working environment are the key by-products of the business of the company. SCNL also offers loans to micro, small and medium enterprises posting an annual turnover of less than Rs. 200 lakhs who are excluded from access to organized finance.

Objects of the Issue:

The Net proceeds from the rights issue are to be utilized: 1) To increase the capital base of the Company to meet future capital requirements and funding requirements for growth of Company's business and operations. 2) For general corporate purposes.