Non-banking financial company Manappuram Finance is aiming at diversifying portfolio to reduce risks, said VP Nandakumar, managing director and CEO of the company.
The firm has acquired about 86 percent stake in Indian School Finance Company(ISFC) for more than Rs 200 crore.
Nandakumar said that ISFC was a good scope for growth in education financing.
“Manappuram intends to diversify into niche areas. The tier one capital itself is around 28-29 percent which is far above regularly minimum of 12 percent. So company wanted to enter into segments to diversify the risk,” said Nandakumar.
On gold loan, he said it has a potential to grow at 15-20 percent.