Capri Global, SBI sign co-lending agreement for housing loans

Capri Global on Thursday announced that it through its wholly owned subsidy, Capri Global Housing Finance, it has entered into a co-lending alliance with the State Bank of India.

The collaboration aims to offer housing loans under priority sector to eligible homebuyers at competitive interest rates across its 110 touch points in India. The loan disbursement under this arrangement would commence from March 2022.

Capri Global Housing Finance will originate and process home loans as per mutually agreed parameters with SBI in line with the co-lending framework laid down by the Reserve Bank of India. The NBFC will act as a servicing agent for the loan accounts sourced under this partnership throughout the loan's life cycle and retain 20% of the loan on its book, whereas SBI will maintain 80% of the loan. The co-lending framework will collaborate the operational management expertise of Capri Global Housing Finance and low-cost fund of SBI to offer an affordable credit solution to the borrowers.

Rajesh Sharma, MD of Capri Global Capital said, We are pleased to join hands with India's largest bank. This partnership will help increase both enterprises' profitability and expand respective home loan portfolios. It will also allow both the financier to penetrate deep into the markets of tier II and tier III cities at very competitive rates. The alliance will leverage the comparative advantages of both entities to offer an efficient and seamless experience to home loan borrowers. Since its inception, Capri Global Housing Finance Ltd has been at the forefront of giving shape to homeownership by offering credit to aspirational India. We are confident that the collaboration with the country's biggest lender will open up more opportunities for home finance to every credit-worthy borrower and act as an agent of change in fulfilling the dreams of owning a home.

CGCL is a diversified non-banking financial company (NBFC) with a presence primarily across two key verticals - MSME loans and home loans. Its focus on MSMEs, the growth drivers of the economy, cuts across restaurants, small manufacturing units, traders, private schools, and goes beyond.

Capri Global Capital (CGCL)'s consolidated net profit rose 32.05% to Rs 64.89 crore on 32.49% increase in total income to Rs 253.78 crore in Q3 FY22 over Q3 FY21.

Shares of Capri Global were trading 0.5% higher at Rs 619.1 on BSE.

Powered by Capital Market - Live News