Spandana Sphoorthy to grow MFI book organically, to acquire NBFC

Microlender Spandana Sphoorthy is looking to expand its balance sheet and exploring growth opportunities for its subsidiary Criss Financial, as part of Vision 2028, unveiled recently.

- Gopika Gopakumar

Managing director and chief executive Shalabh Saxena, in an interview, said under the Spandana 2.0 plan the NBFC-MFI seeks to acquire a non-banking financial company to enhance its loan against property and small business portfolios through Criss Financial.

Saxena refuted all rumors about the sale of Spandana to Yes Bank. He said its promoter Kedaara Capital with over 48% stake, has extended the fund life of its initial fund until September 2024, and will take a decision on whether to stay invested only after that.

“Vision 2028 has two parts. We will grow the microfinance business organically. But are also open to looking at options for growing the LAP and nano enterprise loan book through inorganic route," said Saxena. “We will be looking at acquiring an NBFC. But currently we are in talks with none."