M&M Financial Services board approves expansion into mortgage business

Mahindra & Mahindra Financial Services on Friday said its board has approved expansion into the mortgage business, which would include providing housing finance, top-up loans, lease rental discounting, home improvement, home extension loans, balance transfer loans, construction finance, etc.

Further, the company would also participate in affordable housing loan schemes of governments.

“The company intends to leverage its strong geographical presence in the retail lending space to exploit the mortgage lending opportunity for its existing customers as well as new customers,” the company said in an exchange notification.

The company would invest approximately Rs 20-30 crore over the next twelve months, including IT spends for its expansion into the mortgage business, it said.

Currently, Mahindra Finance offers financial products, including vehicle loans, SME finance, personal loans, insurance broking, housing finance, fixed deposits, and mutual fund schemes.

Mahindra & Mahindra Financial Services shares were up 0.44 per cent on Friday, closing at Rs 332.75.