Chennai, Dec 24 (PTI) Sundaram Home Finance, a wholly owned subsidiary of the non-banking finance company Sundaram Finance Ltd, has set a target to open 12 branches in Andhra Pradesh over the next 12 months under its Emerging Business segment.
As part of its entry into the Andhra Pradesh market, the company has inaugurated five branches in Guntur, Tirupati, Nellore, Eluru, and Vijayawada. Under the Emerging Business segment, it aims to achieve disbursements of around Rs 75 crore.
Sundaram Home Finance recently launched its Emerging Business segment, offering small business loans of up to Rs 20 lakh to businesses and entrepreneurs and Affordable Housing (AH) finance, providing home loans of up to Rs 35 lakh to aspiring individuals. The vertical currently employs over 200 people.
"Having established a strong presence in smaller towns in Tamil Nadu with close to 40 branches in the Emerging Business segment, we felt that the timing was right to expand into Andhra Pradesh," said the company's Managing Director, D Lakshminarayanan.
"We believe that the changing dynamics of the Andhra Pradesh market present great potential for us to tap into the growing opportunities in the small business loans and affordable housing segments," he added in a company statement on Tuesday.
The company plans to open new branches in seven more locations across the Andhra Pradesh market under the same vertical.
"In the first phase, we will focus on solidifying our presence in the five locations we have now entered in Andhra Pradesh. Given the opportunities in both the small business loan and affordable housing segments, our plan is to more than double our branch network in the state," Lakshminarayanan stated.
Sundaram Home Finance made overall disbursements of Rs 2,896 crore as of September 30, 2024, reflecting a 25 per cent increase compared to the same period last year, the company added.