Microfinance loans securitised in CLO

Indian NBFC IFMR has revived the CLO market with a securitisation of its Annapurna microfinance loans, pooled with other types of loans (loans to FinTech lender, Capital Float; loans to wide-ranging financial services provider Essel Finance Business Loans; and consumer finance provider, Home Credit India Finance).

"This form of secondary sale is useful to provide capital market investors an indirect exposure to NBFCs with financial inclusion focus,” said Fernandes, CEO of IFMR Capital.

Source Economic Times