L&T Finance Holdings enters housing finance
L&T Finance Holdings (LTFH) Ltd has announced its entry into the housing finance business, with the signing of definitive agreements for the acquisition of Indo Pacific Housing Finance Ltd (IPHF), a small sized housing finance company. Consummation of this acquisition is subject to receipt of appropriate regulatory approvals.
As of its last audited results, IPHF had loan book size of Rs193.5 crore. It has 34 branches, primarily in the southern and western regions. It also has a fully staffed professional team with hands-on experience in housing finance. This acquisition will synergize with LTFH’s existing Financial Services Businesses by deepening and widening its services. LTFH believes that its brand and reach will enable building a robust and valuable housing finance business. It is the intent of LTFH to widen the presence of IPHF both geographically and by customer segments.
Speaking on the occasion, N Sivaraman, president & wholetime director of LTFH, said, “With this acquisition, LTFH has taken the first step to go beyond its asset finance orientation into the consumer finance domain. We chose the route of acquiring a small, operating business as our route to entry in this market, because it brings with it a fully functional operating platform, is registered with NHB and has a well experienced team of mortgage experts. You add to that our already existing national reach – an all India capacity of sales, credit and service – and you have ideal conditions for quick growth”.
YM Deosthalee, CMD, LTFH, said, “The L&T name is very valuable to buyers of homes and property all over the country. Not only does the Company offer the best home and property solutions to consumers, it is also the preferred constructor of choice among most leading developers. We see the mortgage and loan against property business as the logical next step in building the L&T franchise in the home owners’ market”.