ICL Fincorp Plans To Cross AUM Of Rs 1,000 Crore By FY26 End, says CFO

Gold loan financier ICL Fincorp Ltd. plans to cross its assets under management over Rs 1,000 crore by the end of the current financial year, Chief Financial Officer Madhavan Kutty said. These expectations have come as the non-banking financial company plans to expand its reach. "We have already started opening our branches in Delhi, Kolkata, Rajasthan, Jaipur and other states. We are currently present in 11 states," Kutty said. The company plans to expand its branch base in 10-12 more states in the next six months, Executive Director Rajshree Ajith told NDTV Profit at the sidelines of its public issue of bonds launch.

Further, the company's appointment as a co-lending partner for the government's scheme through National Industries Development Council Committee will also help, Ajith said. As the company launched the fifth tranche of public issue of non-convertible debentures worth Rs 100 crore on Tuesday, the management also said that it plans to raise up to Rs 450 crore by way of bonds and and bank loans in the current financial year. The company plans to reduce its cost of funds as the Reserve Bank of India has started cutting interest rates, Ajith said.

By the launch of ICL Fincorp's second issue, the company's cost of funds will come down, as it is expecting its rating to inch up by three notches higher, she said. ICL Fincorp's NCDs are rated BBB- by CRISIL Ratings. On consolidated basis, the company had a portfolio of Rs 478.3 crore as on March 31, 2024, compared with Rs 403.0 crore a year ago. This growth is driven by the gold loan segment, which accounts for 98% of the portfolio.