Piramal Enterprises Aims To Increase AUM To Rs 80,000 Crore By FY25-End

Piramal Enterprises Ltd. intends to ramp up growth to 15% and boost its assets under management to Rs 80,000 crore in the current financial year, according to the company's chairman Ajay Piramal.

The company reported an 8% increase in its AUM at a consolidated level in the last fiscal.

Piramal Enterprises aims to boost its AUM, even with a significant reduction in the legacy wholesale business, the chairman said during the annual general meeting on Monday.

The legacy AUM will be less than 10% of total AUM by the end of FY25 and less than 5% of total AUM by FY26, he said.

At present, 70% of the overall AUM comprises retail loans, which the company considers as the "growth business", he said and added that recently it crossed the Rs 50,000-crore milestone as well.

The chairman further said that the overall AUM will nearly double to Rs 1.5 lakh crore by the end of FY28 from the Rs 80,000-crore target that has been set for end-FY25.

The share of retail business in the overall AUM will grow to 75% by FY28, Piramal said, adding that it is also growing the wholesale 2.0 book consisting of cash flow and asset-backed exposures in the realty sector, mid-market corporates.

In FY24, the company reported a loss of Rs 1,684 crore, largely because of being hit by the provisions it had to make towards its investments in the alternate investment funds, he said.

Piramal also added that the company expects to mostly recover these provisions, as was seen in the results for the January-March quarter of FY24.

He also said that the growth business is "on track" to achieve the steady state of profitability.

(With Inputs From PTI)