Capital Trust Limited (Capital Trust), a digitally enabled non- banking finance company (NBFC), specialising in providing income generating micro business loans in tier 3-5 regions, recently enhanced its branch network by opening 71 New branches. Out of these, 20 New branches were opened in Eastern UP; 21 in Bihar; 13 in Jharkhand; 11 in Madhya Pradesh and 6 in Punjab. With this the total branch network of the company reaches 315 branches spread across 94 districts in 10 states. All the branches are opened on Asset Light model with minimal capex. The ticket size of these loans will range from ~INR 30,000 to 1 Lakh focussed towards MSME Sector.
The company today also announced sanction of additional INR 260 Millions term loan facility by HDFC Bank. HDFC has till date sanctioned INR 970 Millions. The company enjoys comfortable liquidity position with debt equity ratio of 2.0x as on 30 th September 2021 which gives enough headroom to further increase disbursements thereby expanding the assets under management without further leveraging the balance sheet.
The strong capital base coupled with enhanced reach via expansion in branch network will help the company to expand its customer base and penetrate deeper in existing markets as well as expand its presence to new geographies. The company has already entered into the partnership/co-lending model with some of the NBFCs and Banks. The company is open to other partnerships/ co-lending with Banks and NBFCs to fund the expansion and also open in new geographies.
Commenting upon this, Mr. Yogen Khosla, Chairman and Managing Director, Capital Trust Limited, said, "During the last 6 months post second wave of COVID-19, rural India has bounced back sharply marked by significant uptick in demand on the back of improved economic activities. Our strategic focus on branch expansion along with our focus to increase liquidity by building a strong capital base will help us in expanding our loan book exponentially and penetrate deeper into newer markets".
Shares of Capital Trust Limited was last trading in BSE at Rs. 100.20 as compared to the previous close of Rs. 99.90. The total number of shares traded during the day was 19441 in over 200 trades.
The stock hit an intraday high of Rs. 108.45 and intraday low of 98.05. The net turnover during the day was Rs. 2007836.00.