According to the company, this move marks a significant digital expansion for the Muthoot Pappachan Group (MPG), a 138-year-old financial services group, aimed at deepening financial inclusion and offering consumers a unified experience across financial services products
The co-lending partnership will offer loan against property ranging from Rs 10 lakh to Rs 75 lakh, with an average ticket size of Rs 15 lakh, release added.
The company has reviewed their policies and practices of business after the Reserve Bank of India (RBI) in September asked lenders to review it and rectify any deficiencies. Muthoot Fincorp did not find any deficiency, and everything is complied with guidelines, said Shaji Varghese.
Currently, 99% of the company's book is in gold loan. The plan to cut down gold loan portfolio is part of a diversification strategy, says Shaji Varghese, CEO, Muthoot Fincorp. The company has no plan to go public in the next 18-24 months, he said.
The asset under management (AUM) stood at Rs 33,359.30 crore. The consolidated net profit rose 62 percent to Rs 1,047.98 crore in FY24, Muthoot FinCorp said in a statement.
The issue opened on April 10 and will close on April 25.
The issue opened for public subscription from Friday and will be open till January 25, the company said.
The lender will use these proceeds for onward lending, business operations and further expansion and growth plan, said Shaji Varghese, CEO – Muthoot FinCorp.