CreditAccess Grameen invests Rs 150 crore in Madura

CreditAccess Grameen has invested Rs 150 crore in its subsidiary Madura Micro Finance to augment the capital adequacy ratio of the latter.

India's largest NBFC-MFI has invested the fund in the form of subordinate debt on Tuesday, the company said in a regulatory disclosure to stock exchanges.

The fund infusion is aimed at maintaining Madura's capital adequacy ratio around 18-20 per cent levels, on the backdrop of a steady portfolio growth. Madura had the ratio close to 20 per cent at the end of September 2021.

CreditAccess acquired 76 per cent in Madura and is now awaiting regulatory approval to merge the latter with itself. It will acquire the balance 24 per cent, now held by erstwhile promoters and employees, through share-swap arrangement.