Magma Fincorp Ltd has appointed in Sanjay Nayar, CEO of Kohlberg Kravis Roberts & Co. L.P. (KKR), India, to its board as a non-executive non-independent director.
KKR along with International Finance Corporation (IFC), has invested Rs 440 crore ($100 million) in Kolkata-based non-banking finance company Magma Fincorp. The transaction was closed last week with KKR picking up a 14.95 per cent stake (through Zend VC Mauritius) and IFC
taking a 12.8 per cent.
As CEO and country head of KKR India, Nayar leads the global firm’s India investment strategy. He has an experience of 25 years at Citigroup, including his stint as the CEO of Citi’s Indian and South Asian operations, as well as a member of Citigroup’s Asia Executive Committee and Global senior leadership committee.
Magma Fincorp provides finacial service including financing of utility vehicles, cars, commercial vehicles, construction equipments, tractors and SME loans. It has a base of over 2.36 lakh customers and has assets of Rs 10,907 crore ($2.4 billion) under management. The company has 171 branches in 20 states and one Union Territory, and employs about 5,150 people.
It has also signed a joint venture with HDI Gerling, part of the Talanx Group (Germany’s third largest insurance group), to start a general insurance company in India. This unit has received R1 license from the insurance regulator.