Shriram group aims listing insurance businesses in 1-2 years: Umesh Revankar
The Shriram Group is planning to list its insurance arms—Shriram General Insurance and Shriram Life Insurance—in two years as the businesses scale in size, Shriram Finance Executive Vice Chairman Umesh Revankar said here today.
“Both for general and life insurance businesses, we will be looking at listing, maybe in a year or two from now when we reach a certain scale. Maybe general insurance first and life next,” he said. “Both companies are doing very well, are profit making since inception, and we have not added any capital in both the companies,” he added.
Separately, following the Reserve Bank of India’s (RBI) nod to launch asset reconstruction business in July, the focus now would be only on buying retail bad loans from banks and peer non-bank lenders, due to its specialised skill set of collection of retail loans, Revankar said.
“We will be very gradual and not rush into building scale. Laxmi Narasimhan, the earlier ED of Shriram City Union Finance, will lead the business,” Revankar said. He added that Shriram Finance will raise $750 million for growth purpose in the current fiscal via debt, and may seek the RBI’s approval if the NBFC wants to raise incremental funds over and above $750 million.
Shriram Finance’s assets under management grew 21 per cent year-on- year to ₹ 2.33 trillion in Q1FY25. It aims to maintain AUM growth of 15-18 per cent in the current fiscal, MD & CEO, YS Chakravarti said. The shadow lender today onboarded veteran Indian cricketer Rahul Dravid as its brand ambassador.