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The company was incorporated as ‘Sanni Collection Private Limited (SCPL)’ on June 12, 1991 at Calcutta, West Bengal, India as a private limited company under the Companies Act, 1956. In February 2007, the entire shareholding of SCPL was acquired by Vinatha M. Reddy, Vijitha Subbaiah and Suresh K. Krishna, in their respective individual capacity. At the time of the acquisition, SCPL also held a certificate of registration as a non-deposit taking NBFC dated March 30, 1998. Subsequently, in October 2007, the microfinance business being operated under T. Muniswamappa Trust (TMT), a public charitable trust engaged in the business of providing micro loans in Karnataka (including all associated assets, liabilities, goodwill, receivables, loan assets and intellectual property, including the brand name Grameen Koota) was transferred to SCPL. The microfinance business being operated under TMT was established as a programme under the name Grameen Koota in 1999. Subsequent to the acquisition of SCPL and the transfer of the microfinance business of TMT to SCPL, SCPL was rebranded under the Grameen name, and pursuant to a resolution of the shareholders of SCPL, its name was changed from SCPL to ‘Grameen Financial Services Private Limited (GFSPL)’. A fresh certificate of incorporation consequent upon change of name by the Registrar of Companies, West Bengal on March 14, 2008, post which the Reserve Bank of India (RBI) granted a certificate of registration dated July, 28, 2009 reflecting the change of name. Subsequently, the RBI granted a fresh certificate of registration dated February 6, 2012 for registration as an NBFC under Section 45 IA of the Reserve Bank of India Act, 1934. The company was granted NBFC-Microfinance Institution (NBFC-MFI) status by the RBI with effect from September 5, 2013. Subsequently, pursuant to a resolution passed by the shareholders of company, the name of company was changed to ‘Grameen Koota Financial Services Private Limited’, and a fresh certificate of incorporation consequent upon change of name was issued by the RoC on November 13, 2014.

Further, a fresh certificate of registration consequent upon change of name was issued to company by the RBI on December 16, 2014. Subsequently, the company was converted into a public limited company pursuant to a special resolution passed by its Shareholders at the EGM held on November 27, 2017 and the name of company was changed to ‘Grameen Koota Financial Services Limited (GFSL)’. A fresh certificate of incorporation consequent upon conversion to a public limited company was issued by the RoC on December 18, 2017. Subsequently, pursuant to a resolution passed by the shareholders of company at the EGM held on January 2, 2018, the name of company was changed to ‘CreditAccess Grameen Limited’, and a fresh certificate of incorporation consequent upon change of name was issued by the RoC on January 12, 2018. Subsequently, the RBI granted a fresh certificate of registration dated January 19, 2018 as an NBFC under Section 45 IA of the Reserve Bank of India Act, 1934 under the name ‘CreditAccess Grameen Limited’.

The company provides loans primarily under the joint liability group (JLG) model. Its primary focus is to provide income generation loans to its customers. It also provides other categories of loans such as family welfare loans, home improvement loans and emergency loans to its existing customers. In 2016, with a view to diversifying its product profile, it introduced individual retail finance loans for customers who had been its customers for at least three years and fulfill certain other eligibility criteria linked primarily to their credit history with it, income, and business position. It offers these loans to customers to establish a new enterprise or expand an existing business in their individual capacity (for instance, for the purchase of inventories, machinery or two wheelers).

Business area of the company

CreditAccess Grameen is a leading Indian micro-finance institution headquartered in Bangalore, focused on providing micro-loans to women customers predominantly in Rural Areas in India. Its wide range of lending products addresses the critical needs of its customers throughout their life cycle and includes income generation, family welfare, home improvement and emergency loans. It focuses predominantly on customers in Rural Areas in India, who largely lack access to the formal banking sector and present a latent opportunity for offering micro-loans. Its products are built on a deep understanding of the requirements of its customers (especially customers from Rural Areas) and the flexibility of products (in terms of ticket sizes, end-uses and repayment options) and the manner of their delivery differentiates it from its competitors and generates customer loyalty.

Company	Market Price	MCAP(Cr)	P/B	P/E	EPS	ROE
CREDITACC	1234.9(0.2%)	19,595	3.8	23.7	9.3	9.3
IDFC	101.35(0.3%)	16,155	1.7	8.0	-5.5	-5.1
L&TFH	105.15(-0.5%)	26,188	1.9	10.2	10.5	15.9
SHRIRAMCIT	1992.65(0.0%)	12,895	1.3	10.2	11.7	11.9
POONAWALLA	346.4(-1.9%)	27,108	4.2	46.3	8.4	9.1
TATAINVEST	2339.6(0.4%)	11,781	0.6	48.9	1.4	1.3
CDSL	1029.5(-0.9%)	10,854	11.2	39.9	25.0	18.3
SUNDARMFIN	2570.6(0.3%)	28,471	3.7	26.2	11.3	9.7
MANAPPURAM	117.25(5.3%)	9,526	1.1	7.5	15.5	22.8
SPANDANA	694.4(-0.1%)	4,928	1.6	399.4	8.5	2.4
EDELWEISS	46.75(4.9%)	4,358	0.6	1.8	29.5	24.1
EQUITAS	120.3(0.0%)	4,098	2.4	531.0	7.1	6.5
M&MFIN	283.4(-0.5%)	35,206	2.1	17.7	7.4	6.8
PAISALO	52.05(0.8%)	2,320	2.0	25.3	11.9	8.7
UGROCAP	217.9(-2.3%)	2,062	1.6	51.8	7.0	1.5

Peer Comparison