Sunday , 19 September 2021
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EXCLUSIVE: Godrej group plans to foray into financial services business

Image result for EXCLUSIVE: Godrej group plans to foray into financial services businessThe Godrej group is looking to enter the financial services business as the company sees a big opportunity in the sector after the liquidity situation is seen easing, sources told CNBC-TV18.

The 121-year-old conglomerate, which is present in businesses ranging from real estate to locks to soaps, is planning to launch the financial services business this year, starting with home finance, according to the sources.

“Godrej is entering financial services because the liquidity crisis has shown the group that the market is now moving from the unorganised to organised sector very swiftly,” said a person familiar with the matter on condition of anonymity, adding that this is the best time to capture the market.

The Adi Godrej-led company will start the business alone and is not looking for a partner, added sources.

In recent years, the tide has been turning in the financial services business, with big-box players entering the sector aggressively and replacing the weaker names.

Defaults by Infrastructure Leasing & Financial Services (IL&FS), an important non-banking financial company, on debt obligations late last year created panic among lenders, triggering steep falls in the Indian stock and debt markets, and led to concerns about broader risks in the financial sector.