Truhome Finance raises Rs 870 crore via ECB to fund affordable housing

Truhome Finance, formerly Shriram Housing Finance, on Friday said it has raised $100 million (about Rs 870 crore) through maiden syndicated External Commercial Borrowing (ECB) to fund affordable housing.

The company has secured this funding through a social loan facility from DBS Bank and Sumitomo Mitsui Banking Corporation (SMBC) as mandate lead Arranger and book-runner and joint social loan coordinators in this syndication, Truhome Finance said in a statement. 

Structured as a social loan, this facility underscores Truhome's commitment to financial inclusion and sustainable housing finance, it added.

The fund will be utilised to expand Truhome's lending portfolio, specifically catering to semi-urban and affordable housing segments, ensuring that underserved borrowers have access to home ownership opportunities, it said.

This transaction not only reinforces Truhome's strong credit profile and prudent risk management practices but also sets a new benchmark for global funding in the domestic affordable housing finance sector, it said.