Piramal Capital & Housing Finance (PCHFL), a wholly-owned subsidiary of Piramal Enterprises , looks to expand its branch networks to 1,000 locations from the 404 as of March 31, 2023. The firm had added 95 branches in FY23.
About 50% of its loan book is from tier-I, II and III cities and towns and under its retail lending, the company continues to lend to ‘Bharat’ markets, Piramal Group chairman Ajay Piramal said in the company’s annual report for FY23.
The firm, which provides financial services under the name Piramal Finance, would also strengthen its product suite by launching differentiated higher-yielding products. It will also enter into new partnerships with fintech and consumer tech firms to acquire customers at scale and at low acquisition costs, Piramal added.
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PCHFL will also invest in cutting edge technology to improve cost efficiency and manage asset quality, he added.
Piramal Enterprises is looking at sustained growth and profitability, while in FY23 it generated more than Rs 12,500 crore of cash realisation through accelerated repayments and resolution proceeds.
Talking about the demerger of the company’s pharma and financial business, completed in QFY23, Piramal said it enabled in simplifying structures, focusing on strengthening governance practices and optimising capital usage.
Following the demerger, PEL has two separate sector-focused listed entities in financial services and pharmaceuticals, Piramal Enterprises (a non-banking financial company) and Piramal Pharma.
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“Both entities will now focus on independent growth strategies, helping unlock shareholder value, allowing shareholders to be a part of the two growth stories,” he added.
The demerger followed the group’s acquisition of DHFL for Rs 34,250 crore in September 2021.