MUMBAI: Mahindra & Mahindra Financial Services Ltd (Mahindra Finance), the non-bank lending arm of Mahindra group, on Monday said it will raise up to Rs, 3,500 crore via a rights issue.
The plan to raise equity capital comes after the non-banking financial company (NBFC) reported a 62% drop in its profit for the quarter ended 31 March to Rs221 crore.
The company set aside additional provisions of ₹574 crore on account of covid-19. The lender also reported that over 75% of its customers have opted for the three-month moratorium on loan repayments allowed by the Reserve Bank of India (RBI) as a relief measure.