Piramal Finance, a unit of Piramal Group, owned by Indian billionaire Ajay Piramal, has raised $265 million through an External Commercial Borrowing (ECB) facility.
First Abu Dhabi Bank, Standard Chartered Bank, Sumitomo Mitsui Banking Corporation (SMBC), and The Hong Kong and Shanghai Banking Corporation Limited (HSBC) led the loan facility.
The facility carries a tenor of three years and is fully hedged, ensuring mitigation of foreign exchange and interest rate risks. The deal includes a greenshoe option, allowing the transaction to be upsized to $300 million.
Piramal Finance offers products including home loans, loans against property, used car loans, and small business loans to budget-conscious customers at the periphery of India’s metros and in Tier II and Tier III cities. In wholesale lending, it caters to both real estate as well as non-real estate sectors and offers multiple products including construction finance, structured debt, and senior secured debt.
The funds will be used for expanding the company’s lending portfolio, with a strategic focus on affordable housing and financial inclusion across Tier II & Tier III cities.
“As we expand further into semi-urban and developing cities, our focus remains on enhancing access to affordable credit for underserved communities,” Jairam Sridharan, Managing Director, Piramal Finance Limited, said,
“Over the next 2–3 years, we aim to source 10–12% of our borrowings from international markets, providing global investors an opportunity to participate in India’s growth story,” Sridharan added.
Piramal Finance raised $815 million in the financial year ended March 31, 2025 to support its growth ambitions.
As of December 31, 2024, Piramal Finance had over 1.3 million active customers, presence in 26 states in India and a network of 514 conventional branches.
