Piramal Capital & Housing Finance intends to be a significant player in the home finance segment and plans to grow this business substantially across metros and tier-2 markets. This is revealed by the company’s MD Khushru Jijina, in an interaction with Banking Frontiers. The plan, he says, is to open more than 24 branches by 2020 and introduce a lot of more innovative products from the existing portfolio across real estate and other sectors.
Jijina says the company’s loan book at the end of September 2018 has been approximately Rs530 billion and the real estate developer financing loan book is over Rs 350 billion. Out of this, construction finance accounts for 60% of the real estate book and LRD book has tripled to Rs 50 billion. “Our loan book growth is being led by non-real estate verticals, ie Corporate Finance Group, which has already crossed a book size of Rs100 billion and ECL, which now a year old, has grown to ~Rs15 billion as on September 2018,” says he.
Jijina also points out that the company’s housing finance book as on November 2018 was Rs 29 billion versus Rs 2.02 billion at the end of September 2017. It also has a healthy customer mix of 57% salaried and 43% self-employed with an average ticket size of Rs7.4 million.
