Tag: loan

Switzerland-based investment banking company Credit Suisse has stopped accepting bonds of Adani group as collateral for margin loans to its private banking clients, a sign that scrutiny of the billionaire Gautam Adani's finances is growing after allegations of fraud by short-seller Hindenburg Research. According to the report, the Swiss lender's private banking arm has assigned a zero lending value for notes sold by Adani Ports and Special Economic Zone, Adani Green Energy, and Adani Electricity Mumbai Ltd. It had previously offered a lending value of about 75% for the Adani Ports notes. Other banks continue to lend against Adani's debt. At least two European private banks kept the level unchanged as of now, with one of those offerings to lend between 75% to 80% for Adani Ports dollar bonds. Read more

Shares of One 97 Communications, which operates Paytm, jumped 3 percent to Rs 624 apiece on BSE on June 15 after the fintech major reported rapid growth in its lending business, with loan disbursals in the April-May period jumping 471 to percent compared with the corresponding period a year ago. Paytm shares gained on the company's strong operating update. The stock price has been reeling under pressure ever since it was listed on the stock exchanges in November last year. Paytm stock price has lost 60 percent from its listing price and more than 70 percent from its IPO price of Rs 2,150 apiece. The digital payments company said its lending unit was at an annualized run rate of more than Rs 23,000 crore ($3 billion at $1 = Rs 75) of loan disbursements in May, as it continued to gain momentum in its operating performance. Read more

Shares of IIFL Finance rallied 8 percent to Rs 356.70 on the BSE in Friday’s intra-day trade after the subsidiary of Abu Dhabi Investment Authority picked a 20 percent stake in the company's home finance business.“IIFL Home Finance on Thursday, June 9, 2022, has entered into definitive agreements for raising Rs 2,200 crore of primary capital for a 20 percent stake from a wholly-owned subsidiary of the ADIA,” IIFL Finance said in a statement. The deal completion is subject to regulatory approvals."This investment aims to support the company for its next phase of growth, as it meets the significant demand in India's large, under-served and fast-growing affordable housing finance market," Hamad Shahwan Aldhaheri, Executive Director of the Private Equities Department at ADIA said.IIFL Home Finance proposes to use the additional capital to continue its granular expansion strategy into new markets to address the significant and growing demand for housing loans. Read more

HDFC Ltd today reported a 16.4 percent year-on-year rise in net profit of ₹3,700 crores for the March quarter, Company had reported ₹3,180 crores in the year-ago period, which was above analysts' estimate of Rs 3,306.7 crore. The net interest income (NII) for the quarter stood at Rs 4,601 crore compared with Rs 4,027 crore in the previous year, representing a growth of 14 percent. The Board has recommended a dividend for the year ended March 31, 2022, of ₹30 per equity share. During the year ended March 2022, individual approvals and disbursements grew by 38 percent and 37 percent, respectively compared to the previous year. The average size of individual loans stood at Rs 33 lakh (compared to Rs 29.5 lakh last year). For the quarter ended March 31, 2022, the average loan size was Rs 34.7 lakh. As of March 31, 2022, the assets under management (AUM) stood at ₹6.53 lakh crore as against ₹5.69 lakh crore in the previous year. Read more

Shares of Manappuram Finance hit a 52-week low of Rs 123.85 after they slipped 13 percent on the BSE in Tuesday's intra-day trade after the financier reported a 46 percent year-on-year (YoY) drop in consolidated net profit at Rs 261 crore in the December quarter (Q3FY22), due to weak operational performance. The non-banking finance company (NBFC) had posted a net profit of Rs 483 crore in the corresponding quarter a year ago. Net interest income (NII) fell 12 percent YoY to Rs 915 crore driven by a sharp compression in spreads. Total income during the October-December period of 2021-22 was down at Rs 1,506.85 crore, as against Rs 1,650 crore in same Technical data of the NBFC stock shows that Manappuram Finance has given a 22% negative return In six months and declined further to 27% in the last year as of February 15. In Q3FY22, profit before tax (PBT) of gold loan and other segments declined 44 percent YoY at Rs 347 crore, Read more

Shares of Manappuram Finance slipped 15 percent at Rs 163.45 on the BSE in the intra-day trade on Wednesday after the company reported consolidated profit after tax (PAT) at Rs 436.90 crore, The company has posted Rs 368.11 crore during the previous quarter ended June 2020, up 18.7 percent year on year (YoY), but down 8 percent quarter on quarter (QoQ) for the quarter ended June 2021 (Q1FY22). The company missed street’s expectations due to lower net interest income (NII) in the first quarter of the financial year 2021-22 (April-June). Income from operations was up by 3.4 percent to Rs 1,565 crore in Q1FY22 as against Rs 1,513 crore in Q1FY21, Manappuram Finance said in a regulatory filing. The gold loan book declined 13 percent QoQ to Rs 16,500 crore and gold holdings slipped 11 percent QoQ to 58.1 tonnages. Its assets under management (AUM) hit a six-quarter low. Read more

Shares of Bajaj Finance (BAF) declined 5 percent to Rs 5,681 apiece on the BSE in Monday's intra-day trade after the NBFC issued an update about the effect of the Covid-19 wave on the financials of the firm. The share hit 52 weeks high of Rs 6,009 on June 4, 2021, and 52 weeks low of Rs 2,199 on June 12, 2020. In its mid-quarter update, the firm said B2B and auto finance businesses were most affected due to strict lockdowns in the majority of states. The lender’s business-to-business segment has been hit hard, with most shops and establishments staying shut in May. The second segment most impacted was vehicle loans, the lender said. These businesses delivered 70% of their planned volumes in April 2021 as multiple states started imposing lockdowns from mid-April. Their volumes dropped to 40% in May 2021. Read more

Banks operating in India reported fraud of Rs 4.92 trillion as of March 31, 2021, which represents nearly 4.5% of the total bank credit, showed Reserve Bank of India (RBI) data, according to a reply to an RTI query. The data showed 90 banks and financial institutions reported a total of 45,613 cases of loan fraud till March 31, 2021. State Bank of India – the country’s largest lender – reported the highest amount of loans as fraud - Rs 78,072 crore as of March 31, 2021. SBI is followed by Punjab National Bank (Rs 39,733 crore), Bank of India (Rs 32,224 crore), and Union Bank of India (Rs 29,572 crore). The top five banks account for 42.1% or Rs 2,06,941 crore of the total frauds classified by the banks. Read more

The Supreme Court today(5th Oct.2020) adjourned the hearing in the loan moratorium case to October 13. The bench granted an additional week's time to the government to file the affidavit recounting the guidelines, notifications, and circulars that have been taken by the RBI and Union government. The development comes as the Centre is set to formulate a scheme to waive compound interest for small borrowers during the six-month moratorium period, which may come at a cost of Rs 5,000-7,000 crore. The government, during the hearing, submitted a Cabinet note to the apex court following its approval. Read more

Shares of the Kerala-based lender Muthoot Finance on Thursday jumped 19 per cent after the company reported a 52.4 per cent jump in consolidated net profit at Rs 835.78 crore in the last quarter of the fiscal ended March 2020, due to higher demand for gold loans. The company had posted a net profit of Rs 548.56 crore during the corresponding quarter of fiscal ended March 2019. The Company's asset under management grew 22% year-on-year and a 15% fall in provisions helped boost net profit. The fall in provisions is a fallout of a drop in bad assets. Performance for the last year has been good for the company because of the strong performance of the gold loan business, it said. Its total income during March quarter of FY20 rose to Rs 2,633.58 crore from Rs 2,088.84 crore in the year-ago period, MFIN said in a regulatory filing. For the fiscal year 2019-20, the company reported a 51 per cent jump in consolidated net profit at Rs 3,168.68 crore as against Rs 2,102.96 crore in 2018-19. Read more