Sundaram Home expands presence in Karnataka, targets ₹900 crore disbursements

D Lakshminarayanan, MD, Sundaram Home Finance
| Photo Credit:
KSL

Sundaram Home Finance is ramping up its presence in Karnataka with a new branch in Tumkur in the prime home finance segment, targeting disbursements of around ₹900 crore in the State this fiscal.

The opening of the Tumkur branch marks the company’s second tier 2 expansion in Karnataka, following the launch of its Belagavi branch in September last year. Sundaram Home Finance now operates 18 branches across the State, including in key tier 2 cities such as Mysore, Mangalore, and Hubli, according to a statement.

“Tumkur is evolving as an industrial hub under the Chennai-Bengaluru Industrial Corridor. Its growing base of MSMEs and large industrial units presents a significant opportunity for us, particularly among salaried and self-employed segments,” said D Lakshminarayanan, Managing Director, Sundaram Home Finance.

Eyes on tier 3 towns

The company also plans to deepen its reach in tier 3 towns across Karnataka over the next year, banking on rising demand in emerging markets. “We believe there are lots of opportunities in smaller towns in Karnataka for our prime home finance business and will look to penetrate deeper into these markets over the next 12 months,” he added.

The company recorded disbursements of over ₹600 crore in Karnataka during the nine months ended December 31, 2024 — a 30 per cent increase over the previous year.

Karnataka currently accounts for over 10 per cent of the company’s disbursements in the prime home finance segment, a share expected to rise with continued expansion into underpenetrated markets.

Published on April 18, 2025