Padmaja Reddy founder of Spandana Sphoorty to float new NBFC with former colleagues
Padmaja Reddy, founder and former head of Spandana Sphoorty Financial, is planning to float a new non-banking finance company (NBFC) teaming up with a few former senior management colleagues. Reddy recently resigned from Spandana following major differences with the Board.
The new company was incorporated around three to four days ago and the promoters will soon apply to the Reserve Bank of India (RBI) for a licence, according to two people familiar with the development.
Reddy will be among the key shareholders of the proposed NBFC initially and may later take up a senior management role once the entity starts operations.
The new NBFC will offer loans with an average ticket size of Rs 4-5 lakhs and gold loans at smaller ticket sizes of Rs 50,000 and above. The new entity will start with a focus on Andhra Pradesh and Telangana, and may later look at other geographies.
Padmaja Reddy is a veteran in the Indian microfinance sector with over 20 years of experience. Reddy founded Spandana Sphoorty and scaled it up to make it one of the largest MFIs in the country.