Cholamandalam Investment and Finance Company Limited (Chola) and Karur Vysya Bank Limited (KVB) inks partnership for co-lending business
Co-lending partnership with KVB lowers the cost of capital and opens up new business opportunity by enabling loans at finer rates to the customers at top of the pyramid
cityairnews
Mar 10, 2021 08:55
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Chennai: Karur Vysya Bank the leading private sector bank, and Cholamandalam Investment and Finance Company Limited (Chola), the financial services arm of the Murugappa Group, jointly announced that they have successfully launched Co-lending business in partnership.
The co-lending model is a great opportunity for banks and NBFCs to draw upon each other’s strengths. Co-lending business will significantly bring down the cost of capital for Chola while helping Karur Vysya Bank to expand their reach to new customer segments across the country where Chola has a stronger presence to target high value loan segments such as construction equipment and Commercial vehicles.
Sharing his thoughts on the same, Mr. Ravindra Kundu (Executive Director, Cholamandalam Investment and Finance Company Limited) said, “Our mission at Chola is to enable our customers enter a better life and we continue to innovate to deliver this. We strongly believe our co-lending partnership with KVBwill help us garner market share in segments where pricing has been a constraint. Co-lending is a new direction for Chola but we are confident that this will soon evolve into a very fruitful partnership model for KVB and Chola.
Mr. Natarajan J (President and Chief Operating Officer, Karur Vysya Bank) said, “Chola enjoys a unique position in the industry today due to its strong customer relationship built over four decades and reliance on an inherent value system. The partnership will help the Bank expand its commercial customer base and also provide upselling and cross selling opportunities.
