Central Bank of India enters into co-lending partnership with Shriram Finance Ltd

Central Bank of India has entered into a strategic Co-Lending Partnership with M/s. Shriram Finance Limited to offer MSME Loans at competitive rates, subject to compliance with the applicable law(s) including the applicable guidelines issued by Reserve Bank of India (RBI). The participation by both the entities in this Co-Lending arrangement will result in greater expansion of portfolio by Central Bank of India and M/s. Shriram Finance Limited.

M/s. Shriram Finance Limited is a Non-Banking Finance Company, registered with Reserve Bank of India and is the flagship company of the Shriram Group and is one of India's largest retail assets financing NBFC with an AUM of Rs. 2.33 trillion. Established in 1979, Shriram Finance Limited is a holistic finance provider catering to the needs of Small Road Transport Operators and small business owners and is the leader in organized financing of pre-owned commercial vehicles and two wheelers. It has vertically integrated business models and offers financing of number of products including passenger commercial vehicles loans to MSMEs, tractors & farm equipment, personal loans, working capital loans, loans against gold ornaments etc. It has a pan India presence with network of 3095 branches and employee strength of over 75000 servicing to more than 87 lakh customers.

Under the arrangement, M/s. Shriram Finance Limited will originate and process Loan proposals under MSME Sector as per jointly formulated credit parameters and eligibility criteria and Central Bank of India will take into its books 80% of the MSME Loans under mutually agreed terms. M/s. Shriram Finance Limited will service the loan accounts throughout the life cycle of the loans. The Co-Lending arrangement is expected to help both the entities to offer convenient experience and customer delight to their customers as well as expand their reach across India.

Shares of Central Bank of India was last trading in BSE at Rs. 63.61 as compared to the previous close of Rs. 64.18. The total number of shares traded during the day was 267914 in over 1481 trades.

The stock hit an intraday high of Rs. 64.88 and intraday low of 63.51. The net turnover during the day was Rs. 17126232.00.

Source : Equity Bulls

Keywords

CentralBankofIndia INE483A01010 CoLendingPartnership ShriramFinance