Search
Kotak Mahindra Bank plans separate vertical for mid-market cos
March 08, 2023
The private sector lender is also keen to increase its focus on high-margin structured finance, news agency PTI quoted a top bank official as saying.
At present the mid-market segment is part of the large corporate team, which covers companies between ₹500-6,000 crore.
From April 1, 2023 onwards, the new vertical will be created while the large corporate team will serve clients having revenues between ₹1,500-6,000 crore.
“Our large corporate growth is relatively benign compared to SME (under ₹500 crore revenue companies) growth, and that is one of the reasons for this change. Mid-Market opportunity is large and we believe we are under penetrated in this segment,” Paritosh Kashyap, president and head of wholesale banking, told PTI.
The private sector lender will serve the mid-market opportunity from about 15 dedicated locations, Kashyap said, adding that the small and medium enterprises (SME) segment is served from 50 locations and the number is much smaller for large corporations.
Kashyap said the bank used to have a mid-market team about four years ago, and added that the latest reorganisation is driven by the need to get more focus on the segment and grow it faster than what it would have grown under the older way of organising the business.
Important Links:
- 4-IN-1 Professional Diploma in Banking, Financial Services & Insurance (PDBFSI): https://tscfm.org/courses/4-in-1-professional-diploma-in-banking-financial-services-insurance-pdbfsi/