Piramal Finance announces the launch of Piramal Housing Finance
Piramal Finance Limited (PFL) has announced its foray into the retail housing finance business through its wholly owned subsidiary, Piramal Housing Finance Private Limited. Under a license received from the National Housing Bank to operate, the housing finance vertical will offer home loans as well as loans against property and construction finance for small developers.
Given the size, scale and market relevance of the wholesale lending business, it was a natural progression to assess opportunities within the retail lending space.The retail housing finance business will initially focus on a product roll out across all major metro cities and thereafter seek to establish a pan-India presence, including Tier II-III towns and cities. Theretail construction finance arm will focus on local developers in Tier I and top developers in Tier II-III geographies.
A key differentiator of this offering is that the home loan distribution will be driven through the developer relationships that PFL already has in place through its wholesale lending arm. In fact, the company believes that business (Piramal Housing Finance) to business (developer) to consumer (retail home buyers) or B2B2C is integral to the housing finance business. The strength of the relationships is evident in the numbers; PFL’s existing wholesale business has over Rs.35,000 crores in assets under management (across debt and equity),with funding across 300+ projects and over 100 development partners.
Leveraging its successful track record, the company will seek to fund the entire spectrum of real estate, from affordable to luxury, and cater to both salaried and self-employed individuals by offering tailor-made loans at competitive market rates. The company also unveiled its new branding and logo at the launch. Its tagline ‘Loan se Pehle Log’ also underlines its uncompromising focus on value creation and building deep relationships with the entire universe of stakeholders – customers, developers and channel partners alike.
Ajay Piramal, Chairman, Piramal Enterprisessaid, “Through Piramal Housing Finance,we will be able to deliver a seamless and customer-centric experience to all our stakeholders - including individuals, developers, agents, partners and now the target end users as well.By doing this, we shall further cementour existing relationships and forge new ones. We are confident that the unique business model being adopted by Piramal Housing Finance will add another dimension to our service offering and establish a blueprint for further growth.”
Khushru Jijina, MD, Piramal Finance& MD, Piramal Housing Finance said, “Given the size, scale and market relevance of the wholesale lending business, it was a natural progression to assess opportunities within the retail lending space. We see the housing finance business as an extended product vertical of our existing business, creating value not just for ourselves but the entire ecosystem.”
@EPC World Media