Chennai-based Shiksha Financial Services India Private Limited (“Shiksha Finance” or “Shiksha”) announced the conclusion of a securitisation transaction with DMI Housing Finance Private Limited, a National Housing Bank (NHB)-registered housing finance company committed to expanding access to affordable housing finance, particularly for lower-income and economically weaker sections. With a presence across 9 states and a network of 67 operational branches, DMI Housing Finance participated in the transaction as the investor. The transaction marks Shiksha’s first debt fundraising from a housing finance company.
The transaction involved the issuance of pass-through certificates (PTCs) by “Micro-LAP Empower June 2026”, a special purpose vehicle trust set up exclusively for the transaction. The Series A1 PTCs of INR 43.4 million were fully subscribed to by DMI Housing Finance. The PTCs are backed by a pool of mortgage-backed loan receivables from 148 loan contracts originated by Shiksha Finance.
The Series A1 PTCs have been assigned a provisional rating of ICRA A- (SO), with the credit enhancement in the structure being in the form of (i) a CC (Cash collateral) of 11.00% of the initial pool principal provided by Shiksha Finance, (ii) subordination of 10.00% of the initial pool principal for Series A1 PTC, and iii) the EIS of 41.80% of the initial pool principal for Series A1 PTC.
The PTC transaction with DMI Housing Finance is the third in a series of similar transactions concluded by Shiksha Finance. With this transaction, Shiksha has cumulatively raised over INR 200 million through the securitisation route. The rating of PTCs from the previous two transactions has been maintained at A- (SO) by ICRA after their annual review.
“The transaction with DMI Housing Finance is an important one for us at Shiksha, as this adds a new investor and a new class of investors to our list of supporters and stakeholders,” said Mr V L Ramakrishnan, CEO of Shiksha Finance. “We see PTCs and direct assignments as significant avenues for debt fundraise and treasury management in the future.”
About Shiksha Finance
Shiksha Finance provides secured (mortgage-backed) loans to micro, small and medium enterprises (MSMEs) and to informal sector workers. As of June 2026, Shiksha operates in two southern states of Tamil Nadu and Andhra Pradesh with 19 branches with total outstanding portfolio of INR 742.1 million under the micro-LAP product. Shiksha believes that the micro-loan against property (micro-LAP) product enables access to finance for MSMEs by unlocking the value of their residential property. Shiksha has funded nearly 2500 underbanked entrepreneurs and informal workers since launching the product. By providing micro-loan against property (micro-LAP) loans to eligible borrowers, Shiksha Finance enables borrowers to increase their income, driving higher business accruals and structurally enhancing their credit profiles.