Grihum Housing Finance Sets Sights on Rs 8,200 Crore Loan Book Milestone

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Mumbai-based Grihum Housing Finance, a subsidiary of global alternate assets management major TPG Capital, is projecting a significant increase in its loan portfolio by the end of the current fiscal year. The company, which has undergone several ownership changes in recent years, aims to achieve a loan book of Rs 8,200 crore, up from its current level of Rs 7,500 crore.

Steady Growth and Expansion

Grihum Housing Finance has demonstrated consistent growth over the past six years, with an annual growth rate of 28%. This growth has been accompanied by a substantial increase in its asset under management (AUM), which has grown from Rs 1,800 crore six years ago to Rs 7,500 crore as of now. The company is confident in maintaining this growth trajectory and expects to surpass the Rs 8,200 crore AUM mark by March 2024.

Customer-Centric Approach

Grihum Housing Finance primarily serves self-employed individuals, and approximately 85% of its customers are women. The company has expanded its customer base from 11,000 to 75,000 over the past six years and aims to reach 1 lakh customers by the end of the current fiscal year. To cater to its growing customer base, Grihum Housing Finance has been actively expanding its branch network and has opened 40 new branches this year. The company plans to add an equal number of branches in the next fiscal year.

Strategic Partnership with TPG Capital

TPG Capital, a leading global alternative asset management firm, acquired a 99.02% stake in Grihum Housing Finance in July 2022 for Rs 3,900 crore. This strategic partnership has provided Grihum Housing Finance with access to TPG's expertise and resources, enabling the company to accelerate its growth and expand its reach in the affordable housing sector.

Focus on Affordable Housing

Grihum Housing Finance primarily focuses on providing affordable housing loans, with 70% of its assets in home loans. The company also offers loans against property and education loans. This focus on the under-penetrated affordable housing segment positions Grihum Housing Finance to capitalize on the growing demand for affordable housing in India.

Grihum Housing Finance, under the ownership of TPG Capital, is well-positioned to continue its growth trajectory and achieve its ambitious targets. With its customer-centric approach, strategic partnership with TPG Capital, and focus on affordable housing, Grihum Housing Finance is poised to make a significant impact in the Indian housing finance sector.