L&T Finance Holdings Limited today announced the 100% acquisition of FamilyCredit Ltd a wholly owned subsidiary of France’s Société Générale Consumer Finance. FamilyCredit is a non banking financial company (NBFC) having two-wheeler and auto loans as its product.
L&T Finance will be acquiring the company for Rs 120 crore, it said in a statement.
This is the third acquisition for L&T Finance Holdings this financial year, after it acquired mutual fund business of Fidelity in the country and also Indo Pacific Housing Finance Ltd for Rs 110 crore, through which it entered housing loans segment.
The regulatory approvals are yet to come through, the statement further added.
This acquisition will consolidate the company’s presence in auto financing business as it already offers commercial vehicles (CV) and construction equipment (CE) finance through its subsidiary L&T Finance.
As of June, FamilyCredit Ltd had loan book size of Rs. 1,287 crores of which two-wheeler portfolio was 53% and car portfolio was about 35%.