In order to grow its share of non-gold loans, Manappuram Finance is reportedly planning to acquire microfinance companies. The company currently in talks with a few entities in the north and east, but is yet to zero in on its preferred candidates.
The acquisitions will help the company reduce its share of gold loans, which account for 88 per cent of the consolidated portfolio, and raise priority sector loan books even as it keeps its eyes firmly on universal banking licence.
Manappuram Finance is a non-deposit taking NBFC and having a strong presence in South India in states of Kerala, Tamil Nadu, Karnataka and Andhra Pradesh. Its total assets under management stood at Rs 11,433 crore at the end of March.
