Shriram Finance Raises $468M Multi-Currency Social Loan with BNP Paribas, DBS, HSBC, and Sumitomo Mitsui

On Monday, Shriram Finance Limited (SFL) announced it has raised $468 million (about Rs 3,880 crore) through a multi-currency loan to support business growth. The three-year External Commercial Borrowing (ECB) facility was organized as a social loan with BNP Paribas, DBS Bank, Hongkong & Shanghai Banking Corporation (HSBC), and Sumitomo Mitsui Banking Corporation serving as the joint lead arrangers, book runners, and social loan coordinators.

The fundraise includes $425 million and €40 million through a syndicated term loan transaction. The money will be used to help small entrepreneurs and vulnerable groups across India, aiming to improve access to financial services for the unbanked and underbanked sectors.

Umesh Revankar, executive vice chairman of Shriram Finance, stated that this is the largest syndicated multi-currency transaction by a private sector Non-Banking Finance Company. “This facility is labelled as a social loan, reflecting our commitment to social impact similar to our priority sector initiatives, with certain strict exclusions. The strong interest from the international investor community underscores the global confidence in our mission,” he said.

Shriram Finance offers various credit solutions, including loans for commercial vehicles, two-wheelers, cars, homes, gold, and personal and small business loans. As one of India’s largest retail NBFCs, Shriram Finance manages assets worth Rs 2,24,862 crore.