This would significantly help Cholamandalam and Karur Vysya Bank to expand their reach to new customer segments across the country, a press release said here.
Cholamandalam Investment and Finance Company Executive Director Ravindra Kundu said: “… we strongly believe that our co-loan partnership with KVB will help us gain market share in all client segments due to our stronger presence across the country. ”
Co-lending is a new direction for Chola, but we are confident that this will evolve into a very fruitful partnership model for both of them soon. The model not only allows companies to scale their respective portfolios, but also to use it as an effective composite risk management framework that instills risk appetite in both companies, the statement said.
Karur Vysya Bank Chairman Natarajan J said the partnership will help the bank expand its business customer base and also provide upselling and cross-selling opportunities.
Cholamandalam Investment and Finance Company currently has 1,135 branches across the country and manages assets of over Rs 75,000 crore, the statement added.