Bond­ing with Bharat

The Economic Times - - Companies: Pursuit Of Profit -

Mcap: Net In­ter­est Mar­gin: Re­turn on Eq­uity: A well­diver­si­fied loan book Mcap: Branches: Low­est off­take among top 5 MFIs of Amount dis­bursed (till Septem­ber 2016):

4% 15.7% 1359 17,744 59,824 crore

Low­est in­ter­est rate of charged by any pri­vate MFI

19.75%

Present in dis­tricts (high­est in in­dus­try)

moter back­ing, ac­cess to cheap funds, while In­dusInd will meet pri­or­ity sec­tor norms and ru­ral dis­tri­bu­tion of the coun­try’s premier mi­cro­fi­nance com­pany,” the of­fi­cial said.

An­other source though said that it is likely to be an all-stock deal and In­dusInd would keep the busi­ness and the brand of Bharat Fi­nan­cial sep­a­rate from the bank to lever­age the lat­ter’s strong brand eq­uity in ru­ral ar­eas.

“It could be a win-win deal,” the per­son said as In­dusInd would gain more ac­cess to the ru­ral belt. Bharat Fi­nan­cial has no iden­ti­fi­able pro­moter to lead the busi­ness af­ter de­par­tures of cou­ple of se­nior peo­ple.

Bharat Fi­nan­cial is a wide­ly­held com­pany with no pro­moter share­holder. Morgan Stan­ley In­vest­ment is the largest share­holder with 5.5% as on De­cem­ber 31, 2016, fol­lowed by Morgan Stan­ley Mau­ri­tius’ 5.4%. Amansa Cap­i­tal has 3.9% along with IDFC Mu­tual Fund (3.4%), East Bridge Cap­i­tal (3.4%) and Pinebridge Cap­i­tal (3.3%).

In­dusInd Bank Q3 FY17 Num­bers 1,363 crore Bharat Fi­nan­cial In­clu­sion 77 lakh Cur­rent Out­reach

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