Piramal Enterprises is going to step into the retail housing finance business with its subsidiary Piramal Finance. The application for incorporating a Housing Finance Company (HFC) will be submitted to National Housing Bank (NHB), confirmed by the company board.
Piramal Finance is more than ready to enter in this business with an overall loan book of over Rs 19,170 crore. The company has been providing financial support to many developers from early stage equity until later stage debt, construction finance for residential projects to structured debt as well as lease rental discounting for commercial projects.
Furthermore, the company handles the external funds with an asset under management of about Rs 7,315 crore acting in a fiduciary capacity. Some of the leading global investors are in its partner’s list. It fulfills all the necessary requirements of home loan disbursement for the retail customer segment.
“We feel that the timing is opportune for us to make a foray into retail housing finance. We would naturally stand to benefit from our existing relationships with our development partners and our ability to extend the tenure of our relationship from financing construction of the project to the funding the individual home buyer,” says Ajay Piramal, Chairman, Piramal Enterprises.
Source: ET Realty