Kotak Mahindra Group introduced that it has acquired the auto financing bank loan portfolio of Volkswagen Finance Private Constrained (VWFPL), Volkswagen Group’s Indian captive funding arm. It also mentioned, Kotak Mahindra Primary Confined (Kotak Prime) will get the passenger vehicles and two-wheelers portfolio, and Kotak Mahindra Bank Limited (KMBL) will purchase the industrial autos portfolio of VWFPL.
With this, the company will get entry to in excess of 30,000 substantial-excellent customers with a overall bank loan superb with VWFPL of about ₹1,340 crore.
The corporation in its regulatory filing reported, all these acquired financial loans are labeled as Common Financial loans as for each the present-day Reserve Lender of India (RBI) pointers. In addition to the “Standard Financial loans”, Kotak has also acquired the Non-Performing Assets portfolio of VWFPL.
D Kannan, Team President, Business Banking, Kotak Mahindra Bank and Director of Kotak Mahindra Prime, reported, “The strategic intent powering this acquisition is to more fortify Kotak’s motor vehicle financing mortgage portfolio and increase our market place share. VWFPL has been running in the state considering that 2009 and all through this time has designed a powerful customer portfolio.”
“The prolonged-term growth prospective buyers of the Indian automobile marketplace are extremely eye-catching and this acquisition reinforces Kotak’s standing as a person of the main automobile financing players.”
“I would also like to consider this opportunity to welcome Volkswagen prospects to the Kotak Group and assure them that they will knowledge a seamless changeover and enhanced purchaser encounter with obtain to a huge suite of solution choices, backed by remarkable services benchmarks,” additional Kannan.
Speaking on the development, Aashish Deshpande, MD and CEO of Volkswagen Finance Pvt. Ltd. explained, “The sale of our retail portfolio aligns to our new strategic focus in direction of a refined electronic strategy via our subsidiary, the digital platform KUWY.
“It is a step in the direction of the evolution of the purchaser journey in the electronic room by offering a simplified and agile solution to the two our clients and dealerships, even though aligning correctly to help the VW India 2. tactic,” he included.
Never miss a tale! Remain connected and knowledgeable with Mint.
Down load
our Application Now!!
