L&T Finance Holdings was originally incorporated as L&T Capital Holdings Limited on May 1, 2008 under the Companies Act, as a public limited company, to carry on the business of investment/finance. The company received the certificate of commencement of business on May 15, 2008. The company subsequently changed the name to L&T Finance Holdings Limited pursuant to a special resolution passed by the shareholders at a general meeting dated September 1, 2010. Pursuant to the change of name, a fresh certificate of incorporation was granted to the company by the Registrar of Companies on September 6, 2010. The company was registered with the RBI under Section 45-IA of the Reserve Bank of India Act, 1934, as a non-banking financial institution. The company has applied to the RBI for registration as a systemically important CIC. The company is promoted by Larsen & Toubro Limited, one of the leading companies in India, with interests in engineering, construction, electrical and electronics manufacturing and services, information technology and financial services, as a holding company for its financial services business.
The company a financial holding company offering a diverse range of financial products and services across the corporate, retail and infrastructure finance sectors, as well as mutual fund products and investment management services, through its direct and indirect wholly-owned subsidiaries. It is headquartered in Mumbai, and has a presence in 21 states in India. The company’s network of offices has been established to cater to the growing business needs of its diverse customer base, which includes individual retail customers as well as large companies, banks, multinational companies and small- and medium-enterprises, and to provide them with satisfactory customer service according to their varying requirements.
Infrastructure Finance Group
The company’s wholly-owned subsidiary, L&T Infrastructure Finance Company Limited (L&T Infra), conducts its infrastructure finance business, which provides financial products and services to its customers engaged in infrastructure development and construction, with a focus on the power, roads, telecommunications, oil and gas and ports sectors in India. L&T Infra is registered with the RBI as an NBFC-ND-SI and an IFC, which allows it to optimize its capital structure by diversifying its borrowings and accessing long-term funding resources, thereby expanding its financing operations while maintaining its competitive cost of funds.
Retail Finance Group and Corporate Finance Group
The company’s Retail Finance Group provides financing to its retail customers for the acquisition of income-generating assets and income-generating activities generally, and comprises the segments of construction equipment finance, transportation equipment finance, rural products finance and microfinance. In addition, its Retail Finance Group caters to the non-financing needs of its retail customers through the distribution of third party financial products such as insurance and mutual funds.
The company’s Corporate Finance Group provides financial products and services to its corporate customers, and comprises the segments of corporate loans and leases (in the form of asset-backed loans, term loans, receivables discounting, short-term working capital facilities and operating and finance leases), supply chain finance (which includes vendor and dealer finance products) and capital markets products.
Its wholly-owned subsidiary, L&T Finance Limited (L&T Finance), conducts its retail finance business and its corporate finance business. L&T Finance is registered with the RBI as an NBFC-ND-SI and an AFC.
Investment Management Group
The company’s wholly-owned indirect subsidiary (a wholly-owned subsidiary of L&T Finance) L&T Investment Management Limited (L&TIM), conducts its investment management business (Investment Management Group), which comprises the mutual fund segment (including the management, administration and distribution of L&T Mutual Fund) and the portfolio management services segment (including portfolio management and sub-advisory services). L&TIM (formerly DBS Cholamandalam Asset Management Limited) was acquired by L&T Finance on January 20, 2010, together with L&T Mutual Fund Trustee Limited (formerly DBS Cholamandalam Trustee Limited), the trustee company for L&T Mutual Fund.
Subsidiaries of the company