Magma Fincorp Limited, leading asset finance company has picked up 7% stake in Experian Credit Information Company of India Pvt Ltd, the Indian Credit Information Company (CIC) arm of the global information services company, Experian. This proposed CIC is a joint venture between Experian in collaboration with seven public and private sector banks including non-banking financial institutions in India including the Axis Bank, Federal Bank, Indian Bank, Punjab National Bank, Sundaram Finance and Union Bank of India.
Experian will own 49% in the joint venture, while the Indian partners will own the balance 51%. Besides Magma's 7% stake, Axis Bank will hold 10%, Union Bank of India 10%, PNB 7%, Indian Bank and Federal Bank 5% each while Sundaram Finance will also hold 7%.
TS Narayanasami, a veteran of Indian banking, has been appointed as the chairman of the Experian Credit Information Company. He was earlier the chairman of the Indian Bank's Association, Bank of India, Indian Overseas Bank and Andhra Bank.
The Reserve Bank of India (RBI) in April 2009 granted Experian a provisional license to create a CIC in India. The company has secured approval from the Foreign Investment Promotion Board to invest 49% in the Experian CIC, with its Indian joint venture partners holding the remaining equity. The company has recently applied to the RBI to secure the final license.
"Magma is delighted to partner with Experian and the other Indian partners in this joint venture as we believe that the new credit bureau will provide a strong platform against which all lenders can make informed business decisions. The major role for the bureau will be to help the Indian clients, especially the banks and financial services companies, make better credit lending decisions which will accelerate the financial services sector's development and protect consumers," said Sanjay Chamria, Vice Chairman & MD of Magma Fincorp Limited.
Experian comes to India with many decades of experience in running successful credit bureaus in 15 countries. The launch of the Indian CIC will enable local companies to access critical data and other value added products to facilitate profitable acquisition of new customers, their management and retention.
Source: Indiaprwire
Subscribe to this comment's feed
| < Prev | Next > |
|---|
- Ministry of Corporate Affairs: preparing ground for Indian Corporates to Play Global
- Pawan Hans Signs MOU with Indiaposts for logistics services
- AAAI & IAMAI Sign Agreement
- REVA - BSES Yamuna Power Limited (BYPL) to set-up 100 free chargeports for Delhiites
- Plus Vending to expand its network in the Indian market through Francorp
- Spice Digital and Zoom Developers Memorandum of Understanding
