Shriram Finance up 5% on Goldman Sachs upgrade; top contender for Nifty 50 in March review

Shriram Finance aims to be a multi-asset company, executive vice-chairman Umesh Revankar told Moneycontrol last month. "Over the next five years, we would like to grow the SME portfolio by expanding in regions other than the south, which has been significant so far," he said.

Shriram Finance Limited is a merged entity born through the amalgamation of Shriram City Union Finance Limited (SCUF) and Shriram Capital Limited (SCL) with Shriram Transport Finance Company Limited (STFC).

As a merged entity, Shriram Finance has positioned itself to capitalise on the diversified AUM mix; improved access to liabilities; and enhanced cross-selling opportunities, believe analysts.

Nifty 50 entry in March?

Strategists at Nuvama Research predict Shriram Finance may enter Nifty50 in March 2024, possibly replacing UPL. This change could bring a $217 million inflow to Shriram and a $114 million outflow from UPL.

The official list for the Nifty 50 rejig will be announced in late February 2024. The market capitalisation cutoff date for the same is January 31.

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