Kotak Mahindra Prime acquires Passenger Vehicle Financing Portfolio of Ford Credit
Kotak Mahindra Bank Limited
Kotak Mahindra Prime Limited (Kotak Prime), a subsidiary of Kotak Mahindra Bank Limited, on Wednesday, December 22, 2021, announced that it has acquired the passenger vehicle finance portfolio of Ford Credit India Private Limited (FCIPL).
FCIPL is the Indian captive financing arm of Ford Motor Company, which has been operating in India since 2015.
The acquisition gives Kotak Prime access to over 16,000 high-quality customers with a total loan outstanding of Rs 425 crore. FCIPL customers will transition to Kotak Prime in a planned manner over the next few months.
Vyomesh Kapasi, Managing Director, Kotak Mahindra Prime said, "The acquisition of Ford Credit's loan portfolio further reiterates our continued commitment to grow our vehicle financing business and have a strong presence in this space. We would like to welcome Ford customers to Kotak Group and look forward to supporting their future financing needs with Kotak's wide suite of product offerings."
In September 2021, Kotak Mahindra Group had announced the acquisition of the vehicle financing loan portfolio of Volkswagen Finance Private Limited, comprising passenger cars, two-wheelers and commercial vehicles.
Kotak Mahindra Prime Limited (KMPL) is in the business of financing all passenger vehicles & two-wheelers. KMPL is India's leading car finance company since 1996 and started financing two-wheelers in 2018. The company is dedicated to financing in the form of loans for dealers and retail customers. The company offers finance for the entire range of passenger cars, multi-utility vehicles, pre-owned cars & two-wheelers.
The company also offers inventory funding and term loans to car & two-wheeler dealers. It is also in the business of retail personal loans, developer funding and corporate loans.
KMPL has preferred financier relationships with various manufacturers in India and has a retail distribution network comprising 121 branches in 21 states and union territories in the country.