AU Small Finance ties-up with New India Assurance Company
AU Small Finance Bank has partnered with the largest general insurance provider in the country, the New India Assurance Company Limited (NIACL) to act as its corporate agent.
The small bank has registered with the Insurance Regulatory and Development Authority of India (IRDAI) to act as a corporate agent for general insurance. The partnership will be beneficial to both the companies expanding their market reach.
For Q2FY19, the bank reported net profit to Rs. 91.41 crore as against Rs. 68.24 crore for the same period in FY18. The bank's total income grew by 60.2 per cent to Rs 805.87 crore as against Rs 502.88 crore YoY. The bank’s loan portfolio grew around 66 per cent to Rs. 20,200 crore, YoY. While the net interest income for the second quarter grew 46 per cent to Rs. 321 crore, YoY.
Established in 1996, AU Small Finance Bank is a retail-focused NBFC catering to the lower strata of the society who have limited access to capital. The RBI granted AU a licence to set up a small finance bank (SFB) in December 2016. AU Small Finance Bank got listed on the stock exchanges in June 2017. The bank's IPO was a huge hit and was oversubscribed 53.6 times. Following the IPO, it listed at a 48 per cent premium to its IPO price.
On Monday, at 11:17 hours, the stock of AU Small Finance Bank was trading at Rs. 552.00 per share, down 1.37 per cent.