Satin Creditcare Network board approves promoter's equity infusion

Kolkata: The Satin Creditcare Network board on Monday approved the proposed preferential allotment of fully convertible warrants to its promoter Trishashna Holdings & Investments.

The promoter will infuse Rs 100 crore, taking its holding to 38.32% from 36.17%, people aware said.

The company board approved the allotment of 38.5 lakh fully convertible warrants at Rs 260 apiece for cash. Satin received 25% of the payment upfront from the promoter, it said in a regulatory filing.


As a result, its paid-up share capital on a fully diluted basis expanded to Rs 114.3 crore,

Separately, Satin's wholly-owned subsidiary Satin Finserv announced raising of Rs 650 crore through a combination of debt and equity capital in the first quarter of the fiscal.

It received Rs 120 crore equity from Satin which will be used as growth capital.

Satin last week reported a 172% year-on-year surge in consolidated net profit at Rs 123 crore, backed by business expansion and asset quality improvement. The lender's credit cost reduced by over 177 basis points to 3.06%, including management overlay buffer of Rs 36 crores. Credit cost excluding management
overlay stood at 1.97%.

The group's assets under management grew 28% year-on-year to Rs 15935 crore at the end of June.