JUNE 9, 2023
Mumbai: TVS Credit Services, a Chennai-based non-banking financial company (NBFC), has secured Rs. 480 crores in equity capital from Premji Invest. As part of this transaction, Premji Invest will acquire a 9.7% equity stake in TVS Credit, amounting to Rs. 737 crores, through a combination of primary and secondary investments.
This capital infusion will support TVS Credit’s strategic initiatives, which include expanding its customer base, strengthening the channel partner network, and advancing its digital transformation efforts.
Sudarshan Venu, Chairman of TVS Credit, expressed satisfaction in partnering with Premji Invest. He highlighted the exceptional performance and robust growth that TVS Credit has achieved, with its Assets Under Management surpassing an impressive Rs. 20,000 crores. Venu emphasized the company’s commitment to leveraging digital technologies to reach new customers and maintain a strong growth trajectory.
TK Kurien, CEO and Managing Partner of Premji Invest, highlighted TVS Credit’s mission of promoting financial inclusion. He emphasized the significance of utilizing technology and forming digital partnerships to expand the customer base and streamline the traditional financing process. Kurien expressed confidence in TVS Credit’s potential for success and its ability to generate value.
TVS Credit has provides inclusive and affordable credit options to individuals from various socio-economic backgrounds. The company has built a vast network of 40,000+ touchpoints across the country.
In FY23, TVS Credit reported an AUM of Rs. 20,602 crores, reflecting a growth rate of 48% compared to the previous year. The company projects further expansion, aiming to surpass Rs. 50,000 crores in AUM in the coming years.
Nomura Financial Advisory and JM Financial acted as financial advisors, while Khaitan & Co. provided legal counsel for this transaction.
Courtesy/Source: Times Now / PTI
