Partnership brings together ORFIL’s presence across rural and Tier-3 markets with Shriram Finance’s scale under a co-lending programme of up to ₹100 crore
Chennai, Oct 5: Orange Retail Finance India Private Limited (“Orange” or “the Company”), an RBI-registered Non-Banking Financial Company (NBFC) rated ICRA BBB− (Stable), has signed a co-lending agreement with Shriram Finance Limited to offer gold loans to customers across Tamil Nadu.
Under the agreement, the two companies will jointly originate, and fund gold loans secured against gold jewellery, with a 20:80 participation ratio between ORFIL and Shriram Finance, respectively. The programme has a total cap of ₹100 crore. Customers will have the option of choosing between a bullet repayment structure for tenures of up to 12 months or an EMI-based repayment structure for tenures of up to 36 months.
The partnership builds on ORFIL’s established presence in Tamil Nadu’s rural and Tier-3 markets. With
58 branches across Tamil Nadu, Andhra Pradesh, Karnataka, Telangana and Kerala, ORFIL has developed an established customer base and local market understanding, supported by on-ground capabilities for customer engagement, loan origination and servicing.
Kiran Vedula, Chief Business & Operations Officer, Orange Retail Finance India Pvt Ltd, said: “Our established presence across rural and Tier-3 markets gives us a strong understanding of the customers and communities we serve. This partnership with Shriram Finance allows us to build on that presence and expand access to gold loans while combining our local distribution and servicing capabilities with their scale.”
The gold loan partnership forms part of ORFIL’s broader focus on expanding its secured lending portfolio. The company currently offers MSME loans against property and gold loans, with its branch network providing access to customers across rural, semi-urban and Tier-3 markets.
“We have enjoyed a good working relationship with Shriram Finance, and this agreement builds on that foundation. It gives us the ability to scale our gold loan operations significantly, and we intend to deepen this relationship further in the years ahead.” Ebenezer Daniel G MD & CEO, Orange Retail Finance India Pvt Ltd
Muruganandha Pandiyan V, DMD, Shriram Finance Limited, said: “Shriram Finance’s scale combined with Orange Retail Finance’s on-ground presence in rural and Tier-3 Tamil Nadu, allows us to extend our gold loan offering to markets for building reach. This is the kind of co-lending partnership we look to build, where we can widen access to credit in underserved geographies.”
The agreement further expands ORFIL’s co-lending relationships across its secured lending portfolio, which currently includes lending partners across gold loans and MSME loans against property.