SKS Microfinance closes QIP issue

Company claims the Rs 400 cr issue was oversubscribed several times

SKS Microfinance Limited has said its Rs 400-crore Qualified Institutional Placement (QIP) issue, opened on Monday, was oversubscribed.

The company announced the closure of the issue on Thursday as its the net worth rose to around Rs 850 crore from Rs 459 crore post QIP.

“This capital raise reinforces the confidence reposed in us by our credit grantors, and exponentially enhances our debt fund-raising ability," said S Dilli Raj, president of SKS Microfinance.

According to SKS managing director and CEO MR Rao, the QIP would enable SKS to augment its member base from the present 4 million to 8.5 million over the next three years while meeting its credit requirement.