IndoStar Capital today said former Sriram Group chief R Sridhar has joined as Executive Vice Chairman and CEO as the Everstone Group-backed NBFC sees strong growth and aims to grow its retail lending business.
Sridhar, who has worked with the Sriram Group since 1985, will be taking over from Vimal Bhandari who led the firm since 2011. Bhandari will remain on the board of IndoStar and stay as a shareholder, a company release said.
Sridhar, will oversee IndoStar's growth across its lending businesses, including corporate lending, SME lending and a 100 per cent-owned housing finance subsidiary, IndoStar Home Finance and other asset financing businesses.
"I am excited to lead IndoStar Capital at this phase of its journey. The strong sponsorship of Everstone and other shareholders, combined with a well-capitalised balance sheet and a highly profitable business, provide an excellent base for the next level of growth," said Sridhar.
He will also be investing a significant amount of his own capital in IndoStar.
"We are excited about Sridhar's decision to partner with -and lead-IndoStar. His deep expertise in the NBFC sector and his outstanding performance as a business leader over the years should propel IndoStar into an even higher trajectory of growth," said Sameer Sain, Co-founder and Managing Partner, Everstone Group.
Since it started operations in 2011, IndoStar's net profit has grown to over Rs 210 crore at a CAGR of 31 per cent. In March 2017, the company had a loan book of Rs 5,247 crore and a Net NPA of 1.2 per cent.