M&M Financial Services

Mahindra Finance is benefitting from the healthy sectoral tailwinds and its parent Mahindra & Mahindra's strong recovery in auto volumes.

CLOSING BELL: Broader markets, meanwhile, outperformed benchmark indices as Nifty MidCap 100 and Nifty SmallCap 100 indices rose up to 0.4 per cent

On September 22, 2022, the RBI had directed company to immediately cease carrying out any recovery or repossession activity through outsourcing arrangements, till further orders.

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Mahindra & Mahindra Financial Services on Friday said its board has approved the appointment of Diwakar Gupta as an Independent Director with effect from January 1, 2023. Gupta (69), a seasoned banker, have over 48 years of experience in banking and financial services sector. The company's board on Friday "approved and recommended to the shareholders of the company, the proposal for appointment of Diwakar Gupta as an Independent Director on the board of the company, for first term of 5 consecutive years with effect from January 1, 2023," according to a regulatory filing. He was associated with State Bank of India (SBI) for 39 years. He has worked in Aditya Birla Nuvo Ltd, Asian Development Bank, Manila, and as a member of the expert committee for resolution framework for Covid-19-related stress, constituted by RBI in 2020. Currently, Gupta is the independent director on the board of companies-- CRISIL Ratings Ltd, Mahindra Holidays & Resorts India Ltd, Holiday Club Resorts Oy .

CLOSING BELL: IT, Power stocks logged significant losses, even as select financial stocks gained.

In October 2022, Mahindra Finance estimates the total disbursement of approximately Rs 5,250 crore, thus delivering 97 per cent growth over October 2021.

Experts had pointed out that in light of these directions against one entity, recovery activities of NBFC sector could get impacted as a majority of NBFCs rely on outsourced agents for loan recovery

The RBI action of barring M&M Financial from outsourcing recovery agents comes after the Harazibagh incident where a pregnant woman was mowed down to death

In a circular, the RBI said that the non-banking finance company may continue to carry out recovery or repossession activities, through its own employees.

This is probably the first time the regulator has cracked down on lenders on recovery by coercive methods, which is typically a hallmark of outsourced recovery agents

The shadow lending arm of the Mahindra Group can continue recovery or repossession activities through its own employees, the RBI said in a statement

Court warnings and RBI's circular prohibit lenders and their agents from harassing or threatening debtors

Demand for consumer goods, automobiles, white goods has been holding momentum, which should translate into good credit off take for consumer financiers this festive season, analysts said

MMFSL said the business continued its momentum with disbursement of approximately Rs 3,740 crore, delivering a 75 per cent year on year (YoY) growth

The technical analyst from Anand Rathi advises traders to buy MTAR Tech near Rs 1,300 for an upside target of Rs 1,500 in the coming weeks.

Thus far in July (last eight days), MMFSL has rallied 16 per cent, as compared to a 1.6 per cent rise in the S&P BSE Sensex

Thus far in July (last eight days), MMFSL has rallied 18 per cent, as compared to a 2 per cent rise in the S&P BSE Sensex.

The stock price of M&M Financial Services has broken out on the daily chart from the downward sloping trendline