Muthoot Finance invests ₹200cr in housing arm
What's the story
Muthoot Finance has announced a major investment of ₹200 crore in its wholly-owned housing finance subsidiary, Muthoot Homefin (India) Ltd. The move is part of a strategic expansion plan that will see the company extend its operations to over 250 cities across India. The investment is aimed at boosting affordable housing access, especially in tier-II and tier-III cities.
Expansion strategy
Investment to boost affordable housing access
With this capital infusion, Muthoot Homefin hopes to increase its assets under management (AUM) more than four times in five years. The company also plans a multi-year scale-up plan to expand its pan-India presence through sustainable and responsible growth. George Alexander Muthoot, Managing Director of Muthoot Finance, said the strongest housing growth will come from India's tier-II and III cities.
Market potential
Funds to strengthen lending portfolio, expand into underserved markets
Muthoot Homefin has seen its disbursements grow nearly six times in the last two years. Its AUM has doubled to ₹3,096 crore during this period. The new funds will be used to strengthen its lending portfolio, expand into underserved housing markets, and invest in digital infrastructure and talent acquisition. Alok Aggarwal, CEO of Muthoot Homefin, said this investment is not just about growth but enabling homeownership dreams for aspiring Indian families.