Mahindra's rural housing to raise Rs 200 crore

CHENNAI: The rural housing finance arm of the Mahindra Group is planning to raise around Rs 200 crore, Mahindra & Mahindra Financial Services Ltd ( MMFSL) Managing Director Ramesh Iyer said today.

The company has a target to increase its book size by over three-fold to Rs 4,000 crore by 2015, he told reporters here.

A total of Rs 200 crore was being raised to support the company's expansion and business plans, he said.

He said disbursement of the Mahindra Rural Housing Finance Ltd has been doubling every year and currently stood at around Rs 900 crore and by 2015 the target is to touch Rs 4,000 crore. The company is planning to expand business to 12-13 states, he added.

At present, the company has business in seven states. "To meet the growth target, we would require around Rs 200 crore, which will be infused by MMFSL and NHB will also participate," Iye said.

MRHFL disbursed Rs 433 crore during the year ended March 31, against Rs 266 crore during the same period previous year, registering a growth of 63 per cent.

Mahindra & Mahindra Financial Services registered a disbursement growth of 22 per cent against the corresponding period last year.