Satin Creditcare Network Ltd (SCNL), one of the leading microfinance companies in India, announces the successful merger of its wholly owned subsidiaries, Taraashna Financial Services Limited (TFSL), with Satin Finserv Limited (SFL). The decision to merge the two businesses was made to capitalize on the underlying synergies and to develop capabilities that would make the combined entity stronger.
The assets and liabilities of TFSL, the transferor company, including its operations and capital are being transferred to SFL, leveraging gains in the operational metrics, bringing the AUM to Rs. 764 Crores and marking presence in 10 states through 175 branches. Satin Finserv Limited was incorporated in 2018 as a wholly owned subsidiary of SCNL. It is an RBI registered NonBanking Financial company that offers loans to the Micro, Small & Medium Enterprises (MSMEs) in manufacturing, trading and services. Now, with the amalgamation of TFSL, the company will also engage in business correspondent activities with various banks and NBFCs.
Commenting on this merger, Mr. HP Singh, CMD of Satin Creditcare Network Limited, said, “Keeping in mind of future proofing our business, it is definitely a step towards our long standing vision to increase our operational efficiency through the consolidation of TFSL with SFL to create a combined entity that sources new businesses, while also offering customized products and solutions to our clients. We are certain that this merger will enable us to reap strategic benefits and have a positive impact on our margins by leveraging on the capital and infrastructure.”
Shares of Satin Creditcare Network Limited was last trading in BSE at Rs. 134.05 as compared to the previous close of Rs. 133.95. The total number of shares traded during the day was 5772 in over 143 trades.
The stock hit an intraday high of Rs. 135.10 and intraday low of 132.60. The net turnover during the day was Rs. 776941.00.
