Satya MicroCapital Limited has raised funds in the form of share capital worth INR 11,47,95,000, from its existing investors through a rights issue of new shares. The issue opened on April 20, 2018, for new shares priced at INR 45 each and was closed on May 5, 2018, with 107 investors being allotted 25,51,000 shares. The NBFC-MFI plans to utilise the latest capital infusion towards expanding its presence and building its portfolio of assets under management in both it’s existing, as well as new geographies.
Satya MicroCapital Limited, headquartered in New Delhi, is an NBFC-MFI serving low-income entrepreneurs in India’s rural and urban areas. It provides prompt, convenient, and affordable collateral-free credit to people at the bottom of the pyramid through a strong credit assessment and centralised approval system.
The company started its microfinance operations by adopting the Joint Liability Group (JLG) Model with the use of technology and new adaptations. The firm’s JLG lending operation mainly focuses on women, with their husbands acting as co-borrowers through a credit product that allows them to start a new business or build their existing business.
Spokesperson, Satya MicroCapital Limited, commented, “Our goal is to build a company that can contribute positively to the economy and make a difference in the lives of people. We want to not only expand our overall loan book but are also focusing on building a stronger capital base that will help us extend our reach and serve more customers by offering them finance options for their livelihood and entrepreneurial undertakings. Having covered major rural areas in seven states, we now plan to venture into the less financially penetrated states and take our offerings to the country’s masses. The capital raised will, therefore, help us scale up both our technology and operations in the near future and effectively fulfil our growth objectives.”
By facilitating access to simplified microfinance solutions for Indians, Satya MicroCapital Limited envisions serving as a catalyst for the socio-economic upliftment of five million households by the year 2025. Since its inception in October 2016, Satya MicroCapital Limited has registered impressive growth, having disbursed loans worth INR 277.48 crore across seven states.