A year after it completed the acquisition of DHFL under the Insolvency and Bankruptcy Code (IBC), Piramal Enterprises Ltd (PEL) (now a non-banking finance company) is charting its next phase of growth.
The Ajay Piramal-led entity is now focussing on becoming a more retail-oriented NBFC and the share of these loans is expected to rise to 67 per cent over the medium to long term from 12 per cent pre-merger.
PEL on Wednesday announced its first quarterly results as a Reserve Bank of India (RBI) regulated NBFC. It also marked the first year since the merger with DHFL for PEL, which earlier was a conglomerate with interests in financial services and pharmaceuticals.
The company reported a net loss of Rs 1,536 crore during the quarter against Rs 395 crore of re-computed net profit for the second quarter of the previous fiscal. Total provisions rose to Rs 5,491 crore from Rs 4,008 crore in the preceding quarter and Rs 2,683 crore in the year-ago period.
Jairam Sridharan, managing director of Piramal Capital and Housing Finance, said that after the acquisition of DHFL, PEL has altered its business mix which earlier was towards wholesale lending.
