Credit Access Grameen Ltd

Credit Access Grameen

About the Company:

Credit Access Grameen Ltd is a leading Indian micro-finance institution headquartered in Bangalore, focused on providing micro-loans to women customers predominantly in Rural Areas in India.

Company’s focus predominantly is 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.

Company’s focus customer segment is women having an annual household income of Rs.160,000 or less in Urban Areas and Rs.100,000 or less in Rural Areas. Company provide loans primarily under the joint liability group (“JLG”) model.

Company’s primary focus is to provide income generation loans to their Customers, which comprised 87.02% of their total JLG loan portfolio, as of March 31, 2018.

Company also provide other categories of loans such as family welfare loans, home improvement loans and emergency loans to their existing Customers.

Company’s Promoter Group:

Company’s Promoter is CreditAccess Asia N.V., a multinational company specializing in MSE financing (micro and small enterprise financing), which is backed by institutional investors and has micro-lending experience through its subsidiaries in four countries in Asia.

Company’s Branch Network:

As of March 31, 2018, Company had 516 branches across 132 districts in the states of Karnataka, Maharashtra, Madhya Pradesh, Chhattisgarh, Tamil Nadu, Odisha, Kerala, Goa, and the union territory of Puducherry.


The following table sets forth the number of branches in each state as of the dates indicated:



Competitors for the Company:

Company faces significant competition from unorganized, small participants in the market across all the business segments in addition to other small finance banks, scheduled commercial banks and NBFCs as well as local moneylenders.

Company’s competitors include Bharat Financial Inclusion Ltd., Satin Creditcare Network Ltd., Annapurna Microfinance Pvt. Ltd., Arohan Financial Services Pvt. Ltd., and Spandana Sphoorty Financial Ltd.


Company’s Presence:

Company has followed a strategy of contiguous district-based expansion across regions and, as of March 31, 2018, they cover 132 districts in the eight states (Karnataka, Maharashtra, Tamil Nadu, Chhattisgarh, Madhya Pradesh, Odisha, Kerala, Goa) and one union territory (Puducherry) in India through 516 branches and 4,544 loan officers.

Company’s operations are well-diversified at the district level, with no single district contributing more than 5% to their Gross AUM (apart from one which contributed less than 6% to their Gross AUM) as of March 31, 2018.

Further, out of a total of 132 districts where they had branches as of March 31, 2018, more than 75% of each of these districts individually represents less than 1% of their gross AUM.

Company’s customer base increased from 0.50 million Active Customers as of March 31, 2014 to 1.85 million Active Customers as of March 31, 2018.


The following table sets forth the key financial and operational metrics as of or for the periods indicated:

financial metrics


Management Team:

  1. Mr. Udaya Kumar Hebbar (Designation: Managing Director and Chief Executive Officer)
  2. Mr. Anal Kumar Jain (Designation: Independent Director)
  3. Mr. R . Prabha (Designation: Independent Director)

Special Thanks: We would like to thank Credit Access Grameen Ltd Ltd for inviting Markets Guruji Team to the IPO Press Conference & Listing Ceremony.


Positives for the Company:

Deep Penetration in Rural Areas characterized by low competition and built through contiguous district-based Expansion.

Company’s deep penetration in Rural Areas, built through a contiguous district-based expansion strategy provides them with significant scale and diversification advantages.

As of March 31, 2018, they cover 132 districts in the eight states of Karnataka, Maharashtra, Tamil Nadu, Chhattisgarh, Madhya Pradesh, Kerala, Odisha, Goa, and one union territory of Puducherry in India through 516 branches and 4,544 loan officers. 422 out of their 516 branches are categorized as rural branches as they cater to
Customers in Rural Areas.


Strong Track Record of Financial Performance and Operating Efficiency.

Company has maintained a strong track record of financial performance and operating efficiency over the years through high rates of customer retention, geographical expansion, improved staff productivity, enhancement of individual loan portfolio, lower credit cost and growth in customer base led by branch expansion.


Financials of the Company:

(in Crores) FY 14 FY 15 FY 16 FY 17 FY 18
Revenue 147.83 281.4 466.72 709.26 875.20
Net Profit 16.6 48.73 83.24 80.29 124.64


Valuation of Peer Group Companies:

Company Name Face Value EPS PE Ratio RoNW NAV
Credit Access Grameen Ltd 10 12.11 34.84 8.73% 111.12
Bharat Financial Inclusion Ltd 10 32.89 35.82 15.19% 215.24
Au Small Finance Bank Ltd 10 10.26 63.06 12.80% 79.84
Ujjivan Financial Services Ltd 10 0.61 627.87 0.41% 145.73
Equitas Holdings Ltd 10 0.92 153.15 1.38% 66.87
Shriram Transport Finance
Company Ltd
10 68.61 17.69 12.35% 554.82
Mahindra & Mahindra Financial
Services Ltd
2 17.62 27.16 10.60% 160.50


IPO Details:

Details Info
Issue Opens on 8th August 2018
Issue Closes on:. 10th August 2018
Issue Price Rs.418 – 422
Face Value Rs.10
Minimum Lot 35 shares
Minimum Investment Rs.14,770
Issue Constitutes 18.69%
Issue Size Rs.1131 cr
Market Cap Rs.6049 cr
Listing at NSE & BSE
Equity Shares Offered (OFS) 1,18,76,485
Equity Shares Offered (Fresh) 1,49,28,909
Total Equity Shares Offered (OFS + Fresh) 2,68,05,394
Equity Shares Prior to the Issue 12,84,27,337
Equity Shares after the Issue 14,33,56,246


Important Dates:

Finalization of Basis of Allotment on or Before 16th August 2018
Initiation of Refunds on or Before 20th August 2018
Credit of Equity Shares: on or Before 21st August 2018
Listing Date: on or Before 23rd August 2018


Subscription Details: (Will be Updated)

(Subscription-Category-Wise (no. of times) Till time : 06:00 PM) Shares Offered Day-1 Day-2 Day-3
QIB  53,55,555 0.69 0.79 5.52
NII  40,42,239 0.01 0.02 0.98
Retail   94,31,890 0.11 0.28 0.87
TOTAL 1,88,29,684 0.25 0.37 2.22


IPO Valuation Parameters:

Earnings Per Share (EPS) Price To Earnings ratio (PE) Return on Net Worth (RoNW) Net Asset Value (NAV)
12.11 34.84 8.73% 111.12


Check IPO Allotment Status:

Karvy Website (Click on the below Link)


Company Contact Info:
CreditAccess Grameen Limited
New No. 49 (Old No. 725), 46th Cross
8th Block, Jayanagar, Next to Rajalakshmi Kalyan Mantap
Bangalore 560 071
Karnataka, India
Tel: +91 80 2263 7300
Fax: +91 80 2664 3433


IPO Registrar Info:
Karvy Computershare Private Limited
Karvy Selenium, Tower B
Plot 31-32, Gachibowli
Financial District, Nanakramguda
Hyderabad 500 032
Tel: +91 40 6716 2222
Investor grievance E-mail:
Website: http://