Srei Equipment Finance Ltd (SEFL) on Friday said it has received a funding of 10 million euro (about Rs 86 crore) from Garmany-based KfW IPEX-Bank.
With the successful close of this export financing transaction, KfW IPEX-Bank is enabling the export of construction machinery for SEFL to India, a company release said.
The financing is backed by cover from France-based Euler Hermes, provider of trade credit insurance and other related financial services, it said.
Through this commitment, KfW IPEX-Bank is helping to provide modern and energy-efficient construction machinery for use in Indian infrastructure projects.
The financed machinery from a German construction machine manufacturer includes asphalt machines, road pavers and rollers.
"We at Srei have always believed in creating an equipment life-cycle solution for our customers and in that endeavour, manufacturer partnerships become crucial," SEFL Managing Director Devendra Kumar Vyas said in the release.
He added that this initiative will help our German and European manufacturing partners benefit from our strong customer connect in addition to our agile risk understanding in credit buying.
KfW IPEX-Bank's member (management board) Andreas Ufer said that in these times, it is important to support the German and European export industry.
"This financing is so successful because we were able to rely on a framework cover agreement with Euler Hermes this enables us to finance technical equipment of a lower value under an international export financing agreement," Ufer said.
SEFL is a wholly-owned subsidiary of Srei Infrastructure Finance, a leading company in construction and mining equipment financing.
Within KfW Group, KfW IPEX-Bank is responsible for project and export finance. It supports German and European companies operating in key industrial sectors in global markets by structuring medium and long-term financing for their exports. It also funds infrastructure investments, secures a raw materials supply and finances environmental and climate protection projects worldwide.
