The Asian Development Bank (ADB) has sanctioned an External Commercial Borrowing (ECB) facility amounting to $100 million, availed by Kisetsu Saison Finance (India) Private Limited. The ADB Kisetsu Saison Finance ECB transaction saw dual legal representation, with both Indian and international counsel advising the lender. The funds will be deployed by Kisetsu Saison Finance to finance long-tenor loans to MSMEs across India.
Introduction
Asian Development Bank has sanctioned an ECB facility amounting to $100 million availed by Kisetsu Saison Finance (India) Private Limited. Kisetsu Saison Finance (India) Private Limited is an Indian subsidiary of the Credit Saison Group. The entity is a wholly owned subsidiary of Japanese lender Credit Saison Co.
The facility forms part of the borrower’s broader $500 million external commercial borrowing programme, undertaken with multiple co-lenders. The proceeds of the facility will be used by the borrower to finance long-tenor loans to micro, small, and medium-sized enterprises (MSMEs) in India under its existing social finance framework, with at least 30% of the funds to be deployed towards eligible women borrowers.
Deal Value
The ADB has sanctioned a $100 million ECB facility to Kisetsu Saison Finance (India) Private Limited, forming part of a larger $500 million external commercial borrowing programme with multiple co-lenders.
Legal Teams Involved
Two law firms advised Asian Development Bank on this financing transaction, acting as Indian legal counsel and international legal counsel respectively.
Indian Legal Counsel — TT&A for Asian Development Bank
TT&A advised Asian Development Bank on this financing transaction. The transaction team consisted of:
- Ambarish Mohanty — Partner
- Ankita Mandal — Managing Associate
- Sajjan Singh — Senior Associate
International Legal Counsel — Watson Farley & Williams for Asian Development Bank
Watson Farley & Williams acted as the International Legal Counsel to Asian Development Bank. Further details on the Watson Farley & Williams team members were not disclosed.
Significance and Impact
This transaction is structured under Kisetsu Saison Finance’s existing social finance framework, with a binding commitment that at least 30% of the funds be deployed towards eligible women borrowers. This gender-linked deployment condition underscores the facility’s dual mandate of financial inclusion and MSME development.
The transaction also forms part of a broader $500 million ECB programme involving multiple co-lenders, signalling sustained multilateral confidence in India’s NBFC-led MSME financing ecosystem. Bloomberg had earlier reported that Kisetsu Saison Finance India was planning to raise approximately $500 million through a two-part offshore loan structure, which the ADB facility now confirms to be actively underway. The deal reflects ADB’s continued appetite for channelling development finance through private-sector NBFCs to reach underserved borrower segments in India.
For a broader view of law firm deal activity in India, see the Deal Meter.
The sanctioning of a $100 million ECB facility by ADB to Kisetsu Saison Finance (India) Private Limited, with TT&A and Watson Farley & Williams acting as Indian and international legal counsel respectively, marks a significant cross-border financing transaction in India’s MSME lending space. The deal’s social finance framework and mandatory women-borrower allocation reflect the evolving structuring standards in multilateral development finance. With the broader $500 million programme still in progress, further co-lending tranches may be announced in the coming months.
Disclaimer: This article is for informational purposes only and does not constitute legal advice. It is based on the details provided and publicly available sources.
