ESAF Microfinance and Investments Pvt Ltd (EMFIL) a microfinance institution based in Kerala has sold 10% of it’s equity to Oikocredit of Netherlands for an undisclosed sum.After this deal the capital base of ESAF Microfinance is expected to cross more than Rs 30 crores. Last year ESAF raised USD 2.6 Million (INR 12 crore) by selling a 20% stake to Dia Vikas Capital, a 100% subsidiary of Opportunity International, Australia.
ESAF which stands for Evangelical Social Action Forum was started by Christian missionaries in Thirssur,Kerala and now has over 2.5 Lakh clients. It has successfully spread out its operations to 5 other states in India and now provides a host of financial services ranging from micro credit to microinsurance, money transfers and micro-energy loans.
Oikocredit is a Netherlands based cooperative society that offers debt and investment capital to microfinance institutions, ngo’s and small and medium-sized enterprises in developing countries.It was founded in a 1968 meeting of the World Council of Churches. It is one of the world’s largest private financiers of the microfinance sector and in March 2010, Oikocredit announced that it had reached 1 billion Euro in cumulative committed loans and investments since it began operations.