CHENNAI: Leading education loan provider Avanse Financial Services Limited has raised a multi-currency syndicated External Commercial Borrowing (ECB) facility equivalent to $200 million. Classified as a social loan, this ECB facility will be used to support students from economically weaker sections in pursuing their academic aspirations, the company said in a Thursday statement.
ECB refers to commercial loans availed by eligible resident entities in India from recognised non-resident entities abroad.
The education-focused NBFC (non-banking financial institution) said the transaction was jointly led by DBS Bank Limited, through its IFSC unit at GIFT City, and HSBC India as mandated lead arrangers and bookrunners for the commercial loan, which drew participation from leading banks across Taiwan, Japan, Singapore, Sri Lanka, the UAE, and India. The deal included commitments of $141.3 million and a Japanese Yen tranche equivalent to $58.7 million, aggregating to $200 million.
Avanse said the ECB route enables access to diversified pools of global capital while strengthening long-term partnerships with domestic and international institutions, enhancing both funding resilience and market positioning.
“This syndicated social-linked loan marks another important milestone in our mission to make education financing seamless and affordable for every deserving Indian student," said Amit Gainda, Managing Director & CEO of Avanse Financial Services, in the statement.
"It reaffirms global lenders’ confidence in our long-term strategy and purpose-driven mission. More than a source of capital, such borrowings reflect our conviction that lasting success depends on strong financials as well as the positive, measurable impact we create for students, communities, and stakeholders,” Gainda added.
Avanse, as a student-centric education-focused lender, supports students across the academic spectrum—from those pursuing advanced degrees in India and abroad to institutions seeking to scale and modernise their educational delivery. It currently serves students enrolled in over 1,650 institutions across 50 countries.