CHENNAI: TVS Motor is considering alternatives, including a possible separation of its financial services business, that has an asset base of over Rs 30,000 crore, chairman Sudarshan Venu said on Wednesday.
Over the years, the group has made sustained investments in building and nurturing its financial services business, which have evolved into an important part of the broader TVS Venu ecosystem, he sought to point out.
"Looking ahead, the company may at an appropriate time, in stages, guided by long-term strategic considerations, evaluate alternatives including a possible separation of the financial services business to further strengthen and unlock shareholder value," Sudarshan said.
Noting that its financial services business TVS Credit has had a strong year, he said disbursements grew 26 per cent and the company ended the year with an asset base of over 30,000 crore rupees, serving over 24 million customers across two wheelers, consumer durables, tractors and other products.
"TVS Credit makes it possible for more people to meet their financial aspirations in India, within the fastest growing large economy with increasing middle class," he said about the company which had been rated AA+ by all three major rating agencies.