![]() The borrowings of the company were Rs 2515.07 crore and average cost of borrowings was 9.11% end March 2021, with an average cost of incremental borrowings at 7.70% in FY2021. Monetizes loans through securitization to banks and financial institutions, which enables to optimize cost of borrowings, liquidity, and capital. N met from several sources, including refinancing from the NHB, financing from IFC, term loans, working capital loans and issuance of non-convertible debentures ( NCDs) to meet capital requirements. ![]() The financing requirements historically have bee The company has and expects to continue to benefit from strong capital sponsorship and professional expertise of marquee shareholders. Iew Capital Mauritius Limited (an affiliate of Steadview Capital Management). The important shareholders of the company include WestBridge Crossover Fund, LLC, Malabar India Fund Limited (an affiliate of Malabar Investments), SCI Investments VI (an affiliate of Sequoia Capital), Madison India Opportunities IV (Madison India Capital) and Steadv Anandan is founder and Chairman and Managing Director of the company with over 40 years of experience in the financial services sector and has previously served as the managing director of Cholamandalam Investment and Finance Company, part of the Murugappa Group and was also managing director of Cholamandalam MS General Insurance Company. The employee base of the company 2021 stands at 1,913 end March 2021. The company has a network of 190 branches covering 75 districts in the states of Tamil Nadu (accounting for 52.27% of AUM), Andhra Pradesh 27.33%, Karnataka 9.93%, and Telangana 10.47%. The company has also implemented digitized collection models, which has led to an increase in collection efficiencies. These systems and processes are also technology enabled with a view to ultimately digitize the entire life cycle of a loan from origination to closure. The company has leveraged technology in various facets of operations and has robust systems and processes to assist it with underwriting and collections functions and to monitor asset quality. The company conducts all aspects of lending operations in-house including sourcing, underwriting, valuation and legal assessment of collateral and collections, which enables it to maintain direct contact with customers, reduce turn-around-times and the risk of fraud. The company has implemented a robust risk management architecture which is reflected in asset quality. The company has kept credit cost in check at below 0.14% during the last three years. Since the inception of the company, it has not restructured any loans or written-off any loan receivable and Gross NPAs is lower at 0.68% end March 2021. The home loans, loans against property and business loans had an average loan-to-value of around 39% at the time of sanctioning of the loans. The maximum loan ticket size is Rs 25 lakh, while the average ticket size was Rs 6.2 lakh end March 2021. About 99.46% of AUM relates to customers belonging to the low- and middle-income groups, earning less than Rs 50,000 per month and 39.88% of customers were new to credit.Ībout 61.9% of AUM relates to customers located in rural regions. The loans to self-employed customers accounted for 72.05% of AUM and salaried customers for 27.95% end March 2021. ![]() The company targets first time home buyers where the collateral is a self-occupied residential property. The company only offers loans to retail customers and does not provide any loans to builders or for commercial real estate. The company offers home loans to its customers for the purchase and self-construction of residential property (51.7% of loan book), home improvement and extension loans (21.89%), loans against property and business loans (26.41%) end March 2021. The company serviced 58,069 active loan accounts end March 2021. AUM of the company has increased at robust CAGR of 35% to double from Rs 2247.23 crore end March 2019 to Rs 4067.76 crore end March 2021. ![]() The company is one of the largest housing finance companies in south India in terms of AUM, which started operation on 25 June 2010. New Issue Monitor Thursday, 12 August 2021ĭelivering profitability with strong asset quality, but regional concentration, high business competition, growth sustainability and second covid wave are challengesĪptus Value Housing Finance is Chennai based retail focused housing finance company catering to affordable housing segment primarily serving low- and middle-income self-employed customers in the rural and semi-urban markets of India.
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