ADB sanctions $20 million to Sundaram Home Finance
13 February 2004
Chennai: The Asian Development Bank (ADB) has sanctioned $20 million to Sundaram Home Finance, the Chennai-based housing finance company. "The ADB has given its nod in principle for a 10-year loan. However, we are yet to go for financial closure as other things like the coupon rate are to be decided," says Nitin Palany managing director, Sundaram Home Finance.
According to him, the five-year old company is looking for finance from different sources to take care of its fund needs, as its disbursals had gone up dramatically this fiscal. Sundaram Home Finance is likely to close fiscal 2003-04 with a loan disbursal of Rs.400 crore (approvals Rs.550 crore) as against Rs.236 crore disbursed during 2002-03.
The company has also availed refinance facility form National Housing Bank (NHB) to the extent of Rs.70 crore out of the Rs.150 crore sanctioned to it. "While our equity is Rs.50 crore, the loan portfolio stands at Rs.500 crore, reserves Rs.10 crore and fixed deposit is Rs. 50 crore," says S Ramabadran, executive director.
For the current year, the company's before tax profit is like to be in the region of Rs.7 crore as against Rs.5.9 crore posted the previous year.
Sundaram Home Finance has launched a portal (www.sundaramhomefind.com)
to help prospective homebuyers locate properties at
a cost of Rs.5 lakh. The portal offers intending buyers
information details of residential properties under
development based on their budget, city and location.
Currently, it provides
details on residential projects in Chennai, Bangalore,
Hyderabad, Kochi, Trichy, Madurai, and Coimbatore. Currently
the portal lists about 425 projects.