Vikram Akula, the founder and former chairman of Indian group-lender SKS Microfinance, recently bought 26-percent stake in the start-up Vaya Finserv. Launched in 2014, Vaya Finserv has plans to acquire a “small finance bank” license, which will it will use to provide credit to individuals in India who have been rejected by traditional banks, primarily women’s self-help groups.
Financial data on Vaya Finserv is not available as of 2015. As of March 2013, SKS reported to US-based nonprofit Microfinance Information Exchange (MIX) a gross loan portfolio of USD 434 million, approximately 4.3 million borrowers, return on assets (ROA) of -15.8 percent and return on equity (ROE) of -73.4 percent. SKS shares trade on the Bombay Stock Exchange and India’s National Stock Exchange. SKS is a microfinance institution (MFI), launched in 1998, that delivers microfinance products through a group-lending model to impoverished women in India.
By Jacob Ferguson, Research Associate
About Vaya Finserv
Vaya Finserv is a start-up based in India that was launched in 2014 with plans to acquire a “small finance bank” license to provide credit to individuals who have been rejected by traditional banks, primarily women’s self-help groups. Financial data on Vaya Finserv is not available as of 2015.
About SKS Microfinance
SKS Microfinance is a for-profit microfinance institution (MFI) that was launched in 1998 in India. SKS converted into a public limited company in May 2009 and launched an initial public offering on July 28, 2010. It has since diversified into offering gold loans and microinsurance services but does not accept deposits. As of March 2013, SKS reported to US-based nonprofit Microfinance Information Exchange (MIX) a gross loan portfolio of USD 434 million, approximately 4.3 million borrowers, return on assets (ROA) of -15.8 percent and return on equity (ROE) of -73.4 percent. SKS shares trade on the Bombay Stock Exchange and India’s National Stock Exchange.
Sources and Additional Resources
[1] Firstpost: Vikram Akula makes a comeback with financial start-up Vaya; plans small bank foray
MicroCapital, December 23, 2014 Reserve Bank of India (RBI) Enables “Small Finance Banks” in Effort to Promote Financial Inclusion
MicroCapital Universe Profile: SKS Microfinance
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