The Chief Executive Officer (CEO) of KKR India’s non-banking financial company (NBFC), B V Krishnan (pictured), has stepped down citing personal reasons. KKR India’s CEO Sanjay Nayar will now take over the reins of KKR India Financial Services.
A KKR India spokesperson confirmed that Krishnan was moving on from the firm. “KKR remains committed to the Indian market for the long term, and we continue to recognise the important role KKR India Financial Services (KIFS) plays in supporting the local economy.
Through KIFS, we will continue to provide the necessary capital to the home-grown businesses that have difficulty accessing flexible credit,” the spokesperson said. KKR India Finance, a non-deposit taking NBFC that started in October 2009, provides structured funding, promoter financing, acquisition funding, and mezzanine financing. KIFS, which lends to corporates, has a loan book of nearly Rs 6,000 crore.
According to sources, KKR India’s recent loans have not done well, which is reflected in the spike in non-performing assets (NPAs). Its gross NPAs stood at 2 per cent as on June 30, 2019, which was nil in the previous two years. Over the past three years, KIFS’ loan book has grown at a compound annual growth rate of 35 per cent, to Rs 5,694 crore, as on March 31, 2019. The loan book stood at nearly Rs 5,878 crore as on June 30, 2019. On this date, KKR held nearly 51 per cent stake in KIFS.