Shriram Finance gains on securing $100 million long-term funding from ADB

Shriram Finance is currently trading at Rs. 1384.70, up by 4.90 points or 0.36% from its previous closing of Rs. 1379.80 on the BSE.

Shriram City Union Finance
Shriram City Union Finance

The scrip opened at Rs. 1379.80 and has touched a high and low of Rs. 1389.25 and Rs. 1361.60 respectively. So far 16026 shares were traded on the counter.

The BSE group ‘A’ stock of face value Rs. 10 has touched a 52 week high of Rs. 1509.25 on 25-Jul-2022 and a 52 week low of Rs. 1002.50 on 08-Mar-2022.

Last one week high and low of the scrip stood at Rs. 1399.95 and Rs. 1251.60 respectively. The current market cap of the company is Rs. 51929.32 crore.

The promoters holding in the company stood at 29.37%, while Institutions and Non-Institutions held 65.16% and 5.47% respectively.

Shriram Finance (SFL) has secured long-term funding of $100 million from the Asian Development Bank (ADB). The $100 million External Commercial Borrowing (ECB) is a 5 year loan and is under company’s Social Finance framework. The funds raised from ADB, a regional development bank, will enable SFL to provide credit towards the purchase of new and used vehicles throughout India. Proceeds from ADB can be used for the vehicle finance for commercial purposes for BS VI compliant vehicles and electric vehicles, specifically finance women entrepreneurs, cater to under-developed states of the country, and empower and promote the social and economic status of the underserved communities in India.

Besides the ADB loan, SFL has also successfully raised $250 million from US Development Finance Corporation and $475 million through a 144A Bond from the international market during 2022, thereby continuing to diversify its funding profile and continue its objectives for Financial Inclusion.

Shriram Finance is one of the largest asset financing NBFC in the country and holistic finance provider for the commercial vehicle industry and seeks to partner small truck owners for every possible need related to their assets.

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