Northern Arc executes Rs 350-crore MLD deal for Shriram Transport

STFC is among the largest asset financing NBFCs for the business automobile trade within the nation, partnering with small truck homeowners for all their assets-related wants.

Chennai-headquartered digital debt platform Northern Arc on Friday introduced that it has concluded a Rs 350-crore market-linked debentures (MLD) transaction with Shriram Transport Finance Company (STFC). STFC is among the largest asset financing NBFCs for the business automobile trade within the nation, partnering with small truck homeowners for all their assets-related wants.

That is the newest in a collection of MLD transactions structured, executed and invested in by Northern Arc, by means of which it has facilitated debt funding for its companions throughout MSME financing, CV financing and gold loans.

Northern Arc mentioned the issuance was subscribed by a number of reputed capital market traders. As a part of its business automobile finance section, Northern Arc has targeted on the financing of used CVs that cater to the wants of driver-turned homeowners, first-time customers, first-time consumers and small highway transporters. These prospects, who’ve been impacted because of the pandemic, will profit from the proceeds of the transaction. STFC’s means to succeed in these prospects and allow entry to credit score for debtors on the grassroots degree will guarantee substantial financial and social impression.

Bama Balakrishnan, COO, Northern Arc, mentioned, “The transaction exemplifies Northern Arc’s means to create worth for companions throughout sizes and credit score scores. By means of customised product options, we’ve got been in a position to evince the curiosity of latest traders to our sectors and companions.”