Players flaunt their cards to get into lending game

Good track record, established brand name, wide network coverage and financial inclusion become catchwords in rush for banking licence

"We have already set up aggressively a general insurance business, Liberty Videocon General Insurance, with an initial capital of Rs 350 crore, one of the highest for a start-up company in the industry. We have a very good track record of zero loan default and we hope to get a banking licence"

Venugopal Dhoot, Videocon Group

"A banking licence is a natural progression for our NBFC business. India Infoline Finance Ltd, our NBFC, will get converted into a bank. Given the retail nature of our loan portfolio and distribution infrastructure across the country, we are well placed to drive the financial inclusion agenda as well. We will fully comply with all RBI regulations from day 1 and are not seeking any exceptions"

Nirmal Jain, Chairman, IIFL

"Shriram Capital Ltd, the overarching holding company of all the financial services entities of Shriram Group, has applied for a banking licence. Given our demonstrated track record over the last 3 decades in promoting financial inclusion, we are keen to continue our inclusive growth story on a banking platform. If considered for a banking licence, we are confident that we can contribute significantly to enhancing banking penetration in the country as well as deliver value to all our existing stakeholders, including 10.2 million customers of Shriram Group"

GS Sundararajan, Group Director, Shriram Group

Vinod Jain

"INMACS is an established brand name in consulting business and is fully geared up for the banking foray, with business plans and organisational structure"

Vinod Jain, Chairman, INMACS Management Services

"Many of our branches in the tier-II, -III and -IV cities can be immediately converted into full-fledged bank branches. Our reach of 4,200 branches, large customer base and the strong brand image makes us an eligible candidate for a bank licence"

George Alexander Muthoot, MD, Muthoot Finance



 

"We intend to cater to about 25 million borrowers by 2020 as compared to 4.5 million now. The basic model of banking will remain the same in rural areas"

Chandra Shekhar Ghosh, Chairman, Bandhan

"If we are considered for a banking licence, our goal will be to look at a model of providing financial inclusion to the unbanked and under-banked areas. This is in tune with RBI's objectives of financial inclusion"

Ramesh Ramanathan, Promoter-Director, Janalakshmi Financial Services




 

TITBITS

• Videocon Industries applies in the name of Value Industries, based in Aurangabad
• Tata group's holding company Tata Sons applies for licence, but Aditya Birla Group applies via NBFC arm AB Nuvo
• L&T applies via L&T Finance Holdings & Indiabulls via home loan arm
• Government agencies Tourism Finance, Department of Posts & IFCI also in queue
• Five applicants have major presence in broking: Religare, Edelweiss, India Infoline, Reliance Capital, JM financial
• Among MFIs, Bandhan and Janalakshmi shows interest
• Little known entities Noida-based Smart Global Ventures and Gurgaon-based INMACS management also in race
• INMAC's services include advising on transaction-based audit, financial reporting, international taxation, resource raising and mergers and acquisitions
• Suryamani Financing, also in the fray, of Kolkata is a Pawan Kumar Ruia group company