Brands
Discover
Events
Newsletter
More

Follow Us

twitterfacebookinstagramyoutube
Youtstory

Brands

Resources

Stories

General

In-Depth

Announcement

Reports

News

Funding

Startup Sectors

Women in tech

Sportstech

Agritech

E-Commerce

Education

Lifestyle

Entertainment

Art & Culture

Travel & Leisure

Curtain Raiser

Wine and Food

YSTV

ADVERTISEMENT
Advertise with us

Navi Finserv securitises $24.5M in personal loans with Goldman Sachs India

This is one of the largest debt transactions for Navi, structured via pass-through certificates and backed by a pool of unsecured personal loans.

Navi Finserv securitises $24.5M in personal loans with Goldman Sachs India

Tuesday October 15, 2024 , 2 min Read

NBFC Navi Finserv has completed a $24.5 million personal loan securitisation transaction with Goldman Sachs (India) Finance.

This is one of the largest debt transactions for Navi, structured via pass-through certificates (PTCs) and backed by a pool of unsecured personal loans. The transaction holds an IND AA (SO) rating from India Ratings and marks Navi Finserv's seventh multinational bank partnership.

In July, Navi Finserv closed a $38 million personal loan securitisation deal with JP Morgan, marking the latter's first PTC transaction in India's fintech space.

PTCs are financial instruments used in securitisation. In a PTC structure, a pool of loans (such as personal loans, home loans, or auto loans) is bundled together and sold to investors as certificates. The payments made by the borrowers (like loan principal and interest) are "passed through" to the investors holding the PTCs.

Also Read
Sachin Bansal's Navi Finserv quadruples standalone PAT in FY24 after subsidiary sale

"This transaction with Goldman Sachs will fuel Navi Finserv's long-term mission to simplify and enable access to finance for a billion people. Navi Finserv continues to scale its operations with high-quality underwriting, to help bring more people into the formal financial system by offering them access to seamless credit and delivering exceptional customer experience," a Navi Finserv spokesperson commented.

Securitisation is the process of pooling various financial assets, such as loans, and selling them as securities to investors. This allows lenders to free up capital, reduce risks, and provide liquidity to fuel further lending.

Apart from securitisation Sachin Bansal's financial services platform has also raised Rs 150 crore through non-convertible debentures (NCDs), at an issue price of Rs 1 lakh each through private placement.


Edited by Kanishk Singh