Sundaram Home Finance Limited has revealed its intentions to strengthen its foothold in western Tamil Nadu’s tier-III cities through its ‘Emerging Business’ (EB) division, citing substantial development prospects in these areas.
The financial institution, operating as a complete subsidiary of Sundaram Finance Ltd, presently maintains more than 15 branch locations in the region, with six dedicated to the EB vertical.
The company’s growth plan includes disbursing more than Rs 500 crore within the next 12-18 months, allocating Rs 50 crore specifically for the EB sector. This strategic move comes after the positive results of their Coimbatore branch opening.
D Lakshminarayanan, Managing Director of Sundaram Home Finance, stated, “Following our successful establishment in Coimbatore, we plan to broaden our Emerging Business segment. Our expansion to Pollachi reflects our aim to establish a stronger presence in smaller urban areas. The region has a thriving small entrepreneur community seeking working capital support for business expansion.”
The new Pollachi location will provide small business financing up to Rs 20 lakh to entrepreneurs for operational expenses and business development. Additionally, it will serve the affordable housing sector by offering loans up to Rs 35 lakh.
Lakshminarayanan further noted, “This expansion presents a valuable opportunity to enhance our Emerging Business segment. While Coimbatore remains crucial to our growth, we are now directing attention to smaller cities including Tirupur, Dharapuram, and Erode.”
According to the company statement, Sundaram Home Finance currently operates through more than 150 branches nationwide.