MUMBAI: A Strategic Investment for Growth

Vaccine king Adar Poonawalla's Rising Sun Holdings has made a significant equity infusion of Rs 1,500 crore into Poonawalla Fincorp, elevating its net worth to an impressive Rs 9,700 crore. This strategic move underscores the company's ambitious retail expansion plans under the leadership of MD & CEO Arvind Kapil.

Expanding Horizons

With a clear vision for the future, Poonawalla Fincorp is diversifying its portfolio by launching six new businesses, including personal loans, education finance, and commercial vehicle loans. The company is also committed to opening 400 branches this year, with 80 already making their mark.

A New-to-Market Model

"We're not just upselling to our existing customers. These are first-time borrowers, approved and disbursed on the spot," says Kapil, highlighting the innovative approach to lending that focuses on originating new borrowers through an assisted digital journey at consumer durable stores.

Confidence in Unsecured Lending

Despite sector-wide caution, Kapil remains optimistic about unsecured lending, citing the transparency and robustness of the MSME segment, thanks to GST data and credit bureau coverage. With credit costs falling to 1.4% and NCDs constituting 27% of liabilities, Poonawalla Fincorp is poised for remarkable growth.