Muthoot Finance, the largest gold loan company by asset portfolio has cleared that it is not looking at buying out the troubled travel and money changer firm -- Thomas Cook India -- which has been put on the block by its British parent. The parent Thomas Cook had put its the 131-year-old India arm on block late last year, as part of its attempt at disposing off non-core assets and to cut the mountain of debt, by selling its entire 77.1 percent stake.
Although, the company had approached Thomas Cook however after a due diligence, it decided to drop the plan.
Thomas Cook India was set up in 1881 and enjoys over 60 percent market share in the foreign exchange business in here. Earlier in 2006, Thomas Cook Plc had sold its stake in Thomas Cook India to Dubai Financial, following a pullout by its two major shareholders -- German airline Lufthansa and Karstadt. But two years later in 2008, it had bought back 54.9 percent stake from Dubai Financial for about Rs 950 crore and another 20 percent from open market.
Muthoot Finance is a non-deposit taking systemically important non-banking finance company (NBFC). It is primarily in the business of lending against used household gold jewellery to individuals. The company provides personal and business loans secured by gold jewellery, or gold loans, primarily to individuals who possess gold jewellery but could not access formal credit within a reasonable time, to meet short-term liquidity requirements.
| Company Name | CMP |
|---|---|
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| Shriram Finance | 1007.95 |
| Aditya Birla Capital | 363.05 |
| Chola Invest & Fin. | 1676.05 |
| Tata Capital | 321.70 |
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