Date:27/10/2004 URL: http://www.thehindubusinessline.com/2004/10/27/stories/2004102703580300.htm

Back Cholamandalam Investment net up in Q2

Our Bureau

Chennai , Oct. 26

CHOLAMANDALAM Investment and Finance Company has reported a net profit of Rs 8.6 crore for the quarter ended September, compared with Rs 8.35 crore in the same quarter of last year.

In a press release, Cholamandalam Investment has said that in the first six months of the current year, the company posted a growth of 18 per cent in disbursements. Total disbursements for the period were Rs 509 crore. The company's gross asset base, including securitised assets, grew by 13 per cent to Rs 1,843 crore.

For the half-year, the company has reported a net profit of Rs 18.02 crore against Rs 17.60 crore previously.

Cholamandalam's Chairman Mr M.A. Alagappan told Business Line that the company's board that met today did not discuss the possibility of ChrysCapital, a venture fund, taking a stake in the company. The company was said to have been in talks for a stake sale.

"It is not happening," Mr Alagappan said. Asked if any other venture fund was likely to pick up a stake in Cholamandalam, he said, "not at the moment".

The press release notes that the company's capital adequacy ratio stands at 18 per cent of its risk-weighted assets, against the RBI's requirement of 12 per cent.