INSUBCONTINENT EXCLUSIVE:
KOLKATA: Private sector lender RBL Bank has fully acquired Mumbai-based financial product distribution firm Swadhaar FinServe Pvt Ltd where
it had 60.49 per cent holding earlier.
Swadhaar has now become fully owned subsidiary of the bank, the bank said in a regulatory filing to
RBL has purchased 35.94 per cent from Accion International and 3.58 per cent from promoters and others
Swadhaar is a business correspondence that works exclusively for RBL Bank
"We work as a last-mile distributor of comprehensive financial services and products for the bank, in particular loans and savings products
to low income households and micro entrepreneurs," its website says.
In November last year, the bank had announced the right to raise its
stake to 100 per cent in a regulatory filing to stock exchanges
RBL's executive director Rajeev Ahuja and head for retail and priority sector Harjeet Toor were in the board of Swadhaar.
The firm took
the decision to become a business correspondent for RBL Bank in 2014 and transferred its micro credit portfolio to the bank
Under this model, Swadhaar holds responsibility for sourcing clients, evaluating credit worthiness and monitoring repayments for RBL,
It started operations as a non-banking finance company in 2008 and subsequently converted into a NBFC-MFI
It surrendered the NBFC license in 2015.
RBL Bank's share was up 0.17 per cent to Rs 545.60 on BSE immediately after the announcement.
