Piramal Enterprises' Retail Loans Top ₹50,000 Crore, Shares Rise 3%

Tanushree Jaiswal Tanushree Jaiswal

Last Updated: 18th June 2024 - 04:37 pm

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Piramal Finance, the financial services arm of Piramal Enterprises Limited, announced on June 17 that it had exceeded the milestone of ₹50,000 crore in Assets Under Management (AUM) for retail loans. Retail loans have grown by 132% since March 2022. 

Piramal Enterprises operates through its wholly-owned subsidiary, Piramal Capital & Housing Finance Ltd., under the collective customer brand name, Piramal Finance. 

According to the statement, mortgages remain the dominant component of Piramal Finance's portfolio, constituting 68% of the overall retail AUM, with a 38% year-on-year increase in FY24. The housing loan portfolio disbursed an average of ₹800 crore per month in FY24, with an average ticket size of ₹19 lakh. 

Following the announcement, shares of the holding company Piramal Enterprises rose by 3% to ₹910.95 apiece on the BSE around 12:14 PM. Over the past month, the shares have gained 11%, with a market capitalization of ₹20,400 crore. 

Following the announcement, shares of the holding company Piramal Enterprises rose by 3% to ₹910.95 apiece on the BSE around 12:14 PM. Over the past month, the shares have gained 11%, with a market capitalization of ₹20,400 crore. 

Over the last three years, Piramal Finance has grown its customer base as a leading Non-Banking Financial Company-Housing Finance Company (NBFC-HFC) in the affordable lending sector. In 2021, it acquired Dewan Housing Finance Corporation Limited (DHFL), marking the first successful resolution under the Insolvency and Bankruptcy Code (IBC) in the financial services sector. This acquisition remains one of the largest resolutions in value terms within the industry. 

Commenting on the achievement, Jairam Sridharan, Managing Director, Piramal Capital & Housing Finance, said, “It is gratifying to see us regain our position as a leading financial services company in the affordable housing space. Our business will continue to be focused on MSMEs and small salaried individuals across Bharat, providing more people access to formal credit.”

Over the past three years, Piramal Finance has expanded its customer base, establishing itself as a leading Non-Banking Financial Company-Housing Finance Company (NBFC-HFC) in the affordable lending sector. In 2021, it acquired Dewan Housing Finance Corporation Limited (DHFL), achieving the first successful resolution under the Insolvency and Bankruptcy Code (IBC) in the financial services sector. This acquisition remains one of the largest resolutions in value terms within the industry. 

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