U GRO Capital Partners With Bank of Baroda
Speaking on this partnership, Shachindra Nath, Executive Chairman of U GRO Capital said, “We are delighted to sign our first co-origination agreement with Bank of Baroda and value the trust they have reposed in our platform."
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U GRO Capital, technology-enabled small business lending platform, has entered into its first loan co-origination partnership with Bank of Baroda. The partnership aims to offer customised lending solutions at a competitive rate of interest with a significant reduction in turn-around time to SMEs by deploying U GRO Capital’s indigenously developed a co-lending technology platform ‘GRO-Xstream’.
This platform offers big banks and other large financial institutions to choose customers as per their own selection criterion while utilizing U GRO’s proprietary underwriting engine. ‘GRO-Xstream’ platform also enables smaller NBFC’s for co-lending partnership with U GRO while facilitating securitization and direct assignment opportunities for assets originated by them and filtered and assessed by U GRO Capital’s analytical proprietary tool.
U GRO Capital is a new-age NBFC whose mission is to solve the ever-growing credit gap in the SME sector based on knowledge and technology. The company has developed proprietary tools which comprise of customized SME sector-specific statistical scorecards, underwriting insights based on deep sub-sector level research put together in a highly integrated technology platform. This helps in getting an in-principle decision for the loan application within 60 Mins. The Company has already disbursed more than Rs 600 crore across more than 6000 small businesses in a short span of 10 months.
Speaking on this partnership, Shachindra Nath, Executive Chairman of U GRO Capital said, “We are delighted to sign our first co-origination agreement with Bank of Baroda and value the trust they have reposed in our platform. This partnership is a validation of our knowledge-driven approach (sectoral focus) backed with technology along with the highest levels of corporate governance. We look forward to a long-term mutually beneficial relationship with Bank of Baroda, to serve MSMEs in our chosen sectors and help them grow more.”
Co-origination partnerships with larger banks/NBFCs is a key component in the company’s three-pronged liability strategy combined with balance sheet lending, and an off-balance sheet model including assignments/securitization to create a truly hybrid lending model.
V S Khichi, Executive Director of Bank of Baroda said, “We are committed to working jointly with various partners to support MSMEs and we have entered into these MOUs with a view to enhance our footprint in delivery of products and services in the MSME eco-system. The partnership with U GRO Capital is in this direction and we believe the MSME sector will be a significant beneficiary from this co-origination tie-up.”