Mumbai, 22 July: Godrej Capital, the financial services arm of the Godrej Industries Group, through its subsidiary Godrej Finance Limited, today announced the acquisition of the Gold Loan business of Kanakadurga Finance Limited, marking the company’s first strategic acquisition and a significant milestone in its journey to build a large, diversified financial services franchise in India.
The acquisition is in line with the company’s ambition to build a ₹1 lakh crore Assets Under Management (AUM) franchise while serving over a million customers by 2031. As the company continues to broaden its portfolio and customer offerings, this acquisition represents an important milestone in creating a more diversified lending institution for the future.
Over the past five years, the company has built a strong foundation across MSME lending and housing finance, backed by technology, disciplined risk management, and a customer-first philosophy. This acquisition builds on that foundation by expanding the company’s lending portfolio, establishing its consumer finance business, and creating a stronger platform for long-term, sustainable growth.
Manish Shah, MD & CEO, Godrej Capital, said, “The acquisition of Kanakadurga Finance‘s Gold Loan business marks an important milestone in Godrej Capital‘s journey and represents our first strategic acquisition as we continue building a larger and more diversified financial services franchise with a five-year ambition of achieving ₹1 lakh crore AUM. It also reflects our intent to scale the business thoughtfully and purposefully. As we look ahead, we will continue to strengthen our platform, expand our capabilities, and pursue opportunities that enhance our ability to create long-term value for customers, partners, and stakeholders.
Jayaprakash Narayana and Sriman Narayana, Joint MDs, Kanakadurga Finance Limited, added “We have built a strong Gold Loan business with a meaningful presence across our markets. As we focus on our core Vehicle Finance business, we have decided to transition the Gold Loan business to Godrej Finance Limited. We believe the company is well positioned to take this business to its next phase of growth, backed by a strong institutional foundation and customer-centric approach. We are confident this transition will create lasting value for our customers, employees, and all stakeholders.”
The acquisition adds an established portfolio of approximately ₹280 crore Assets Under Management, nearly 12,000 customers, 54 operational branches across Andhra Pradesh, and an experienced team of around 250 employees providing Godrej Capital with a strong platform to build a scaled gold loans business.
As India witnesses increasing formalisation of credit, rising consumer aspirations, and growing demand for trusted financial partners, Godrej Capital believes its strong brand legacy, technology-led operating model, disciplined risk management, and customer-first philosophy position it well to build a differentiated financial services franchise across multiple segments including gold loans.
