Setting up a housing finance company was always in the pipeline but were waiting for right opportunity, said N Srinivasan, Executive Vice Chairman & MD, Cholamandalam Investment And Finance
There is lot of buzz going for the non-banking financial companies (NBFCs). There has been pick up in rural economy and growth for loans because of commercial vehicle sales improving.
Cholamandalam Investment is in focus also because they have also received approval to set up a home financing company.
To throw more light on the above development and the outlook for NBFCs, N Srinivasan, Executive Vice Chairman & MD, Cholamandalam Investment And Finance in an interview to CNBC-TV18 said growth for them has been very uniform at about 20 percent because two-third of their branches are in tier III, tier IV cities.
So, growth in second half (H2) is likely to be same at first half (H1). Moreover, Q4 is seasonally a good quarter for the company, said Srinivasan.
Talking about the purpose for setting up a housing finance company, he said they have been doing home loans, with a portfolio of around Rs 750 crore and are likely to end the year around Rs 1000 crore. 95 percent of the portfolio is affordable housing.
It was always on our radar but were waiting for a good timing, he added.For full interview, watch video