Peoples Leasing Company securitised Rs.150 mn of its lease receivables recently.
The company issued discounted notes maturing between 3 to 48 months at a rate of thirteen and a half percent.rn
rnThe securitised paper has been placed with a private commercial bank.rn
rnThe paper has a face value of over Rs. 190 mn.rn
rnPeoples leasing is a specialist in bus and vehicle leases. rn
rnSecuritisation of lease receivables involve borrowing against the value of existing leases with cash flows channeled to an independent entity for direct repayment to the lender. rn
rnPeoples Merchant Bank, with Deustche Bank as trusties, arranged the deal.rn