- Advising Centrum Finance (CFSL) on structuring the pool and getting it rated.
- Arranging funding for a A2 rated CFSL such that it can long term raise funds from a pool of diverse dealers with an average tenor of 40 days.
Transaction Summary:
Centrum’s pool of 200 dealers was funded by loans form NBFC.
Centrum’s rating of A2 / A- keeps costs high.
Artfine structured a persistent securitsation programme of Trade receivables – comprising dealer invoices from three dealer programmes with over 100 dealers per pool. Crisil provisionally rated it A1+ (SO) in January. Being re-rated now.
Key Take Away:
- Advise and structure India’s first dealer securitisation.
- Improvement in overall portfolio yield.
- Pool was provisionally rated A1+ (SO) in January. Being rated again post Covid.