Kolkata: Shivalik Small Finance Bank completed its proposed acquisition and merger with Delhi-based ManiBhavnam Home Finance India Pvt last week, in a deal valued at nearly Rs 109 crore.The merger will establish the bank's presence in the country's affordable housing finance market, which is projected to expand at a 20% compounded annual growth rate until 2030.The deal includes 20% cash payment and the balance will be settled through share swap. Backed by Japan's largest lender Sumitomo Mitsui Banking Corporation (SMBC), Shivalik received the approval from the ministry of corporate affairs early last month, bank officials said."The merger helps the bank make inroads in north India in the affordable housing space through a right sized profitable HFC. The business is a low risk weight , secured, higher NIM and long tenor business which can form the foundation for the bank to build multiple relationships with the customer and his family," Shivalik managing director Anshul Swami told ET.Shivalik gains Rs 320 crore of loan book from ManiBhavnam. It had Rs 4030 crore of advances and Rs 4013 crore of deposits at the end of March. The bank's refinance lines from the National Bank for Agriculture & Rural Development and Small Industries Development Bank of India helped it grow lending while the credit-deposit ratio stood as high as 99.6%.The bank is planning fresh capital infusion to drive growth, the MD said.It had mobilised Rs 100 crore in August last year by selling shares. SMBC Asia Rising Fund, a venture capital fund co-founded by SMBC and Incubate Fund, bought a 4.99% stake in Shivalik for about Rs 60 crore while existing investors Accel, Quona, Lightspeed and Sorin Investments also put in another Rs 40 crore between."The bank will continue to grow at around 40% as it has over the last few years. The bank's lending balance sheet continues to be 90% secured with collateral. The 10% odd unsecured has various credit guarantee covers," Swami said.