Tata Capital Housing Finance eyes raising Rs 2,000 cr this year

Tata Capital Housing Finance is planning to raise about Rs 2,000 crore this financial year through a combination of bank loans, borrowings from the market and re-finance facility from the National Housing Bank (NHB). The company had raised about Rs 6,500 to 7,000 crore last fiscal.

"Our borrowings last year was around Rs 6,500 to 7,000 crore which included bank loans, local market borrowings and re-finance from NHB. We are planning to borrow additional Rs 2,000 crore this year," said R Vaithianathan, managing director, Tata Capital Housing Finance. He added that this Rs 2,000 crore includes the re-finance expected from NHB this fiscal. "This year we have a desire of around Rs 900 to Rs 1,000 crore from NHB," said Vaithianathan.

Over and above the fund raising plans, the company would also receive capital infusion from its parent to the extent of Rs 700 crore. Last year the capital infusion was about Rs 400 crore.

In terms of disbursements the company plans to growth a minimum 40 per cent this fiscal. "We are not finding any major difference in the demand due to which like FY14-15 the focus is on loans below Rs 60 lakh ticket size," said Vaithianathan. The company had disbursed mortgage loans amounting to Rs 4,563 crore last fiscal recording a growth of over 44 per cent year-on-year. According to Vaithianathan below Rs 60 lakh loans contributed to about Rs 2,500 crore last fiscal. The company's average ticket size is about Rs 31 lakh.

The company is also trying to cater to more of urban poor customers and have also rolled out a product for the same. As a strategy, the company will continue to maintain a balanced housing loan book between the salaried and self-employed segment.

The portfolio size as on March 31, 2015 stood at 9,283 crore recording a growth of 46 per cent year-on-year. "Our average ticket size today is about Rs 31 lakh. We are planning to take the portfolio size of Rs 9,283 crore to Rs 13,000 crore this fiscal," Vaithianathan said. He added that in the below Rs 60 lakh home loan segment there is genuine demand from people.

When asked about plans of setting up a Real Estate Investment Trust (REIT), Vaithianathan said if the industry evolves then they may look at it. "At the present juncture we do not plan for it as we have enough in our plate," he added.