New Delhi: Aspiring to quadruple its assets in consumer finance business to $8 billion on the back of a booming retail and mortgage market, GE Money India said on 22 july it would become the country’s numero uno non-banking finance company by 2010.
GE Money India, a unit of the world’s biggest diversified conglomerate GE, could receive fresh fund infusion of close to $1 billion from its parent to achieve the target.
“From the point of non-banking finance company, our target is to be number one or two,” GE Money (India region) President and CEO Vishal Pandit told PTI.
The asset size of the company’s consumer finance business is worth about two billion dollars, which is expected to grow four-fold by 2010, he said.
GE Money worldwide has identified India as the “imagination breakthrough country” -- the country with the highest potential for growth.
The Indian market, Pandit said, was on par with Eastern Europe in terms of potential for growth.
“Achieving this target would mean expanding our branch network from 162 now to about 500-600,” Pandit said.
Asked about the funding requirement, he declined to quote any specific numbers, but said the ratio of equity infusion would be one-ninth of the asset value which works out to a little less than a billion dollar.
Moving ahead, the company would exit the consumer durables finance through mom and pop stores while broadening the reach to high growth and high profitability areas of personal loans, cars, mortgages and private label credit cards programme.