Muthoottu Mini Financiers Ltd

Muthoottu Mini Financiers Limited is a non-deposit taking systemically important NBFC in the gold loan sector lending money against the pledge of household gold jewellery ('Gold Loans') in the state of Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Telangana, Haryana, Maharashtra, Gujarat, Delhi and Goa and the union territory of Puducherry. They also have microfinance loan segment wherein they provide unsecured loans to joint liability group of women customers (minimum of 5 persons) who require funds to carry out their business activities through few of the branches in the state of Kerala. The Gold Loan portfolio as on March 31, 2021, March 31, 2020, and March 31, 2019 comprises of 3,86,110, 4,37,182, and 3,75,665 Gold Loan accounts respectively, aggregating to Rs 1,93,510.34 lakhs, Rs 1,64,480.28 lakhs and, Rs 1,35,012.97 lakhs which is 97.04%, 97.26%, and 97.50% of the total loans and advances as on such specific dates. They, as on June 30 2021, had a network of 807 branches spread in the states of Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Telangana, Haryana, Maharashtra, Gujarat, Delhi and Goa and the union territory of Puducherry and they employ 3117 persons in the business operations. Brand name of company, average rating and above average coupon rates make this offer a good option for investors looking for long term fixed income. We give NEUTRAL rating to debt issue.

• 1  Nizzy Mathew
• 2  Mathew Muthoottu