Poonawalla Fincorp enters gold loan business; here’s how Muthoot, Manappuram stocks reacted

The stock climbed as much as 3% to ₹377.45 apiece on the National Stock Exchange (NSE). At 12:53 pm, it was up 2.87% to ₹376.8.

The gold loan offering, with approvals in less than 30 minutes, will be a secure and transparent financing solution, the company said, adding that customers will be able to unlock the value of their gold without selling it.

Arvind Kapil, managing director and chief executive officer of Poonawalla Fincorp, said, "Our gold loan offering represents a natural progression in our secured lending portfolio, combining traditional value with modern convenience. We have designed this product with the customer journey at its core, respecting both the emotional and financial value of gold. At Poonawalla Fincorp, customer asset safety and transparency remains paramount, while delivering reliable and premium services."

Poonawalla Fincorp plans to open 400 new branches across Tier 2 and Tier 3 cities in a phased manner to strengthen its presence.

It said that the gold loan market in India offers a substantial opportunity, with projections hinting at robust growth in the coming years across urban and rural markets.

"PFL is strategically positioned to capture this growing opportunity through its customer-centric approach and commitment to delivering premium services tailored to borrowers' needs," the company said.

Here's how Muthoot, and Manappuram stocks reacted