Fedbank Financial is changing gears after crossing ₹10,000 crore in assets

Fedbank Financial Services, a recently listed non-banking financial company (NBFC) based in Mumbai and promoted by Federal Bank, is aiming for a 25% growth in assets under management (AUM) for the next couple of years. 

A 25% annual  growth in AUM for Fedbank would be comparable to the 47% growth in the last financial year ending March 2023. The figure has gone up from ₹6,187 crore at the end of March 2022 to ₹9,069 crore a year later, and crossed ₹10,000 crore by September 2023.

Anil Kothuri, the managing director and CEO of the ₹5,190-crore company, told CNBC-TV18 that the company has the ammunition required to achieve its target. "We came up with an IPO in the quarter gone by, we raised ₹600 crore of primary capital that's used to augment at tier-I positions. So which is why our debt equity came down from close to 5.50 to almost 3.5 right now," he said.