PNB Housing Finance actively looking to sell down corporate assets and raise focus on mass housing segment

KOLKATA: PNB Housing Finance is actively looking to sell down corporate assets and raising focus on the mass housing segment even as disbursement likely to shrink this financial year.
The company said there are early signs of real estate sector bottoming out after seven years of muted performance.

Housing finance business is improving month on month but on the overall basis the disbursements are expected to degrow during the year, the mortgage lender said, after its board okayed the revised business plan for FY21.

In the mass housing segment, it plans to disburse loans to high yielding individual housing segment with average ticket size of around Rs 17 lakh. Unnati segment will account for 10-15% of the total disbursements planned for FY 2020-21.

The lender has corporate loans worth Rs 14600 crore and is negotiating with banks to sell down part of it. To start with it is looking to offload about Rs 2000 crore, chief executive Neeraj Vyas had said last month.

Retail loans contribute about 85% of its total assets.

"The efforts will be on maintaining net spreads anywhere between 210-220 basis points for FY21 with no plan of any major securitization of retail loans during the year," it said.