‘We want to be a 360 degree financial services company’

How do you proceed now that the outright settlement is complete?

We plan to create, acquire or tie up a number of synergistic businesses, which will also be standalone businesses, but will also utilize Crew’s internal strengths. Hence, we are looking to build a 360-degree financial services company. While REL is still focused on developing the strengths of existing businesses, we will need funds for such inorganic growth as well. So, we’ll be trying and raising money 600-700 crore so that we can actually infuse some money into existing businesses like the housing finance business, which is Religare Housing Development Corp. Broking is doing well and is within its required space; It is also entering into some strategic tie-ups in the market, and we aim to list the company within two years.

What is the expected time frame for Qualified Institutional Placement (QIP)?

I have given this target to present their business plans for fresh capital or for synergistic acquisition of businesses for the next two to three months time. Once all these companies come back with the plan, we will evaluate it and then, of course based on the estimated number required, that will be taken into account, and then we will go for QIP.

Have you received any interest from investors?

Most of my investors are very interested in participating more. They all realize how challenging it has been to create values. If no value is created, then no value is unlocked. During tough times, investors participated and believed in us. I’m sure their confidence in us remains very strong, and we’re very confident that these shareholders believe value has been created. We’re going to show how we’re going to unlock value and how we’re going to strengthen the group. This process will be completed in two to three months.

What will be your role going forward? Would you consider splitting the post of Chairman and Managing Director?

Because it is not a promoter-run company, lenders and regulators have to come up with a very structured way of accountability. That’s where I came from, and I’m not only committed to getting the company out of trouble, but I’m also accountable and responsible for steering the company in a positive direction. Therefore, I will continue to play my role as Executive Chairman and lead REL. This is where the mutual strength of the management and the board comes into play.

Will you be looking at expanding your MSME loan portfolio?

We have been preparing for this for the last 2-3 years. We’ve split our teams; One is looking at the collection, and the other is doing all the business, understanding how we can really carve out a niche in Micro, Small and Medium Enterprises (MSMEs). We were already ready for business, and we’ve really done that litmus test by going ahead and understanding the market. We are going to keep a detailed book and will not repeat the mistakes of the past. Also, before we reach out to the lenders and try and make sure we understand the business through our money and provide us with more facilities. Within a few months or a year, we will create a platform that is trustworthy and reliable for all lenders who want to participate and grow their customers with us.

Is a rebranding exercise in the works?

Now that we’ve actually had a lot of discussion, we’re looking at rebranding. We have hired consultants to look at the rebranding very closely, and we did not want to confuse shareholders or regulators by changing the name when we had not completed our outright agreement. Now we have finalized the agreement, and once the whole process is over, it is a very serious exercise that we will start for rebranding.