The Muthoot Group is an Indian multinational conglomerate headquartered in

Kochi Kochi (), also known as Cochin ( ) ( the official name until 1996) is a major port city on the Malabar Coast of India bordering the Laccadive Sea, which is a part of the Arabian Sea. It is part of the district of Ernakulam in the state of K ...

Kerala Kerala ( ; ) is a state on the Malabar Coast of India. It was formed on 1 November 1956, following the passage of the States Reorganisation Act, by combining Malayalam-speaking regions of the erstwhile regions of Cochin, Malabar, South ...

. It has interests in

financial services Financial services are the Service (economics), economic services provided by the finance industry, which encompasses a broad range of businesses that manage money, including credit unions, banks, credit-card companies, insurance companies, acco ...

, information technology, media, healthcare, education,

power generation Electricity generation is the process of generating electric power from sources of primary energy. For utilities in the electric power industry, it is the stage prior to its delivery ( transmission, distribution, etc.) to end users or its stor ...

, infrastructure,

plantations A plantation is an agricultural estate, generally centered on a plantation house, meant for farming that specializes in cash crops, usually mainly planted with a single crop, with perhaps ancillary areas for vegetables for eating and so on. The ...

precious metal Precious metals are rare, naturally occurring metallic chemical elements of high economic value. Chemically, the precious metals tend to be less reactive than most elements (see noble metal). They are usually ductile and have a high lustre. ...

, restaurant, and

hospitality Hospitality is the relationship between a guest and a host, wherein the host receives the guest with some amount of goodwill, including the reception and entertainment of guests, visitors, or strangers. Louis de Jaucourt, Louis, chevalier de J ...

. Muthoot Group operates in 29 states in India, and has presence in Nepal, Sri Lanka, US, UK and UAE. The group manages assets of over $4.5 billion. It is owned and managed by the Muthoot family. The group takes its name from the Muthoot Family based in Kerala. The company was set up by Muthoot Ninan Mathai in 1887 at

Kozhencherry Kozhencherry ( ml, കോഴഞ്ചേരി) is a census town in Pathanamthitta district of Central Travancore region (South Central Kerala) in Kerala state, India. census, the population was 433,357 people in 92,825 households. History Kozh ...

, a small town in the

. It was then later taken over by his son

M George Muthoot Mathai George Muthoot (4 February 1911 – 31 January 1993) was an Indian entrepreneur and businessman, prominent for his pioneering work in the South Indian financial sector. He is the father of M. G. George Muthoot and G. Alexander Muthoot ...

, who incorporated the finance division of the group, which was until then primarily involved in wholesale of grains and timber. The company is now managed by the third and fourth generation of its family members.

History

In 1939, M. George Muthoot created a partnership firm under the name of Muthoot M. George & Brothers (MMG). MMG was a

chit fund A chit fund is a type of rotating savings and credit association system practiced in India, Bangladesh, Sri Lanka, Pakistan other Asian countries. Chit fund schemes may be organized by financial institutions, or informally among friends, relatives, ...

based out of

. In 1971, the firm was renamed as Muthoot Bankers, and started to finance loans using gold jewellery as collateral. In 2001, the company was renamed to Muthoot Finance. Muthoot Finance falls under the category of systematically important

non-banking financial company A non-banking financial institution (NBFI) or non-bank financial company (NBFC) is a financial institution that does not have a full banking license or is not supervised by a national or international banking regulatory agency. NBFC facilitate ba ...

(NBFC) of the RBI guidelines. The company has more than 4,500 branches spread across 29 states and union territories of India. Muthoot Finance, according to the IMaCS Research & Analytics Industry Reports '' old Loans Market in India, 2009 and the 2010 update to the IMaCS Industry Report 2009', is the largest Gold Loan NBFC and has the largest network of branches for a gold loan NBFC in India. Muthoot Finance is also the highest-credit-rated gold loan company in India, with a credit rating of AA (

CRISIL CRISIL (formerly ''Credit Rating Information Services of India Limited'') is an Indian analytical company providing ratings, research, and risk and policy advisory services and is a subsidiary of American company S&P Global. CRISIL, was the f ...

) and AA ( ICRA) for its long-term debts and P1+ (

) & A1+ ( ICRA) for its Short Term Debt Instruments. Muthoot Finance has played an instrumental role in organizing and professionalizing gold collateralized loans in India, a concept which emphasizes mobilising household gold jewelry as a channel of credit to borrowers. The total gold holdings among individuals is estimated to be more than 20,000 tonnes. In 2010, Muthoot Finance sold 4% of its shares in a private equity round to

Barings Bank Barings Bank was a British merchant bank based in London, and one of England's List of oldest banks in continuous operation, oldest merchant banks after Berenberg Bank, Barings' close collaborator and German representative. It was founded in 1762 ...

and

Matrix Partners Matrix Partners is a US-based private equity investment firm focusing on venture capital investments. The firm invests in seed and early-stage companies in the United States and India, particularly in the software, communications, semiconducto ...

, raising . Later in 2011, Muthoot Finance publicly listed its shares on the two biggest stock exchanges in India

National Stock Exchange of India National Stock Exchange of India Limited (NSE) is the leading stock exchange under the ownership of various group of domestic and global financial institutions, public and privately owned entities and individuals. It is located in Mumbai, Mah ...

and

Bombay Stock Exchange BSE Limited, also known as the Bombay Stock Exchange (BSE), is an Indian stock exchange. It is located on Dalal Street in Mumbai. Established in 1875 by cotton merchant Premchand Roychand, a Jain businessman, it is the oldest stock exchange in ...

. In terms of market capitalisation, Muthoot Finance Ltd is the second largest company in

, first being

Federal Bank Federal Bank Limited is an Indian private sector bank headquartered in Aluva, Kochi, Kerala. The bank has 1,336 branches spread across different states in India. It also has representative offices abroad in Abu Dhabi, Qatar, Kuwait, Oman, and ...

Business sectors

Retail gold banking

Muthoot started offering loans backed by gold jewellery as collateral in 1971. As of 2009, it was the largest non-banking financial company issuing gold-backed loans.

Affordable housing finance

Incorporated in 2013, Muthoot Homefin (India) Limited is a Housing Finance company (HFC) registered with the

National Housing Bank National Housing Bank (NHB), is the apex regulatory body for overall regulation and licensing of housing finance companies in India. It is under the jurisdiction of Ministry of Finance , Government of India. It was set up on 9 July 1988 under t ...

. The company has its Corporate Office in Mumbai, and operates primarily in the Western and Central states of India. In an effort to promote the Indian government's initiative of

Housing for All Pradhan Mantri Awas Yojana (PMAY) is an initiative by the Government of India in which affordable housing will be provided to the urban poor with a target of building 2 crore (20 million) affordable houses by 31 March 2022. It has two compone ...

, Muthoot Homefin operates primarily in the affordable housing segment, wherein the loans are below . Muthoot Homefin has a long-term credit rating of AA- (ICRA) and a short-term rating of P1+ (ICRA)

Other financial products

The securities brokerage business of the group is undertaken through the subsidiary Muthoot Securities. It operates over 65 business centres in Kerala, Tamil Nadu, Andhra Pradesh and Karnataka. The company offers Equity & Currency trading, Online trading, Portfolio Management Services, Depository services, Mutual funds,

PAN card A permanent account number (PAN) is a ten-character alphanumeric identifier, issued in the form of a laminated "PAN card", by the Indian Income Tax Department, to any "person" who applies for it or to whom the department allots the number wit ...

services and Market Research. Muthoot Precious Metals Corporation (MPMC) was established in May 2006, the company sells coins & bars of 999 Pure 24 Carat gold and silver throughout India. They carry out the sales of these bars and coins through more than 4250 branches of Muthoot Finance. MPMC imports

gold bullion A gold bar, also called gold bullion or gold ingot, is a quantity of refined metallic gold of any shape that is made by a bar producer meeting standard conditions of manufacture, labeling, and record keeping. Larger gold bars that are produced ...

from Switzerland and converts them into gold coins of smaller denominations so as to suit the investment requirements of people from different income groups. The group provides wire transfer services through the branch network of Muthoot Finance since 2002. As of December 2012, there are 7 inward remittances that Muthoot Finance offers

Western Union The Western Union Company is an American multinational financial services company, headquartered in Denver, Colorado. Founded in 1851 as the New York and Mississippi Valley Printing Telegraph Company in Rochester, New York, the company chang ...

, Xpress Money, Instant Cash, Ez Remit, Transfast,

MoneyGram MoneyGram International, Inc. is an American cross-border Peer-to-peer, P2P payments and electronic funds transfer, money transfer company based in the United States with headquarters in Dallas, Dallas, Texas. It has an operations center in St. L ...

, Global Money. In 2013, the group also acquired a majority stake in an NBFC in Sri Lanka operating under the brand name of Asia Asset Finance Limited. Asia Asset Finance primarily provides loans to small businesses as well as Gold Loans. The group expanded its Gold Loan business to the UK, wherein it operates under the brand name Muthoot Finance UK. In 2014, the group also acquired a majority stake in a

Microfinance Microfinance is a category of financial services targeting individuals and small businesses who lack access to conventional banking and related services. Microfinance includes microcredit, the provision of small loans to poor clients; savings ...

company operating under the brand name Belstar Investments. Incorporated in 1992, Muthoot Vehicle & Asset Finance is a public company engaged in providing vehicle loans. The company operates primarily in

South India South India, also known as Dakshina Bharata or Peninsular India, consists of the peninsular southern part of India. It encompasses the Indian states of Andhra Pradesh, Karnataka, Kerala, Tamil Nadu, and Telangana, as well as the union territo ...

. The

Reserve Bank of India The Reserve Bank of India, chiefly known as RBI, is India's central bank and regulatory body responsible for regulation of the Indian banking system. It is under the ownership of Ministry of Finance, Government of India. It is responsible for ...

classifies it as a Deposit taking Asset Finance Company. The Wealth management services division of the group is associated with insurance ranging from life insurance to medical, ULIPs, etc. It was established in 2002. All operations are now run under the name of Muthoot Insurance Brokers Pvt. Ltd.

Information technology

Muthoot Systems and Technologies Pvt Ltd operating under the brand Emsyne, is the Information technology arm of the Muthoot Group, is headquartered in Cochin. The company has been operating for over the past 14 years in the IT sector. Their client list includes US companies such as ARC group, PA, Court Port LLC, SVM, JAL International. The company was established in 1993. It offers information technology services, product engineering, business process outsourcing services and consultancy services to local as well as global clients. The company has recently started its operations in US with a subsidiary in the Philadelphia region. Expansion into other regions of the US and The Middle East is planned.

Media

Muthoot Group operates Chennai Live 104.8 Fm that focuses on the growing demand for urban English music. Established in 2006, Chennai Live is the first talk radio station in India and is the leading English radio channel in

Chennai Chennai (, ), formerly known as Madras ( the official name until 1996), is the capital city of Tamil Nadu, the southernmost Indian state. The largest city of the state in area and population, Chennai is located on the Coromandel Coast of th ...

Healthcare

Muthoot Hospitals became operational in 1988 and currently operates under the brandname of Muthoot Healthcare. The group operates a chain of multi-speciality hospitals and a network of specialty clinics and diagnostic centres. It also provides several community health programmes that fall under the healthcare division of Muthoot Group. The group operates a specialised Cancer Research Centre in Kozhencherry, 2 multi-speciality hospitals in

and

Pathanamthitta Pathanamthitta (), is a municipality situated in the Central Travancore region in the state of Kerala, India, spread over an area of 23.50 km2. It is the administrative capital of Pathanamthitta district. The town has a population of 37 ...

as well as Diagnostic Centres spread across the state of Kerala.

Travel and hospitality

The group manages four luxury hotels operating under the brand name of Xandari, in

Thekkady Thekkady( Idukki district) is a town near Periyar National Park, an important tourist attraction in the Kerala state of India. The name Thekkady is derived from the word "thekku" which means teak. Temperatures are lowest in the months of Dec ...

Marari Beach Marari Beach is a beach at Mararikulam village in Alappuzha District of Kerala, India, 11 km from Alappuzha (Alleppey) town. Location Mararikulam is connected by rail and has a railway station by the same name. It is also well connected ...

Fort Kochi Fort Kochi, Fort Cochin in English, Cochim de Baixo ("Lower Kochi") in Cochin Portuguese creole, is a neighbourhood of Cochin (Kochi) city in Kerala, India. Fort Kochi takes its name from the Fort Manuel of Cochin, the first European fort ...

and

Alajuela Alajuela () is a district in the Alajuela canton of the Alajuela Province of Costa Rica. As the seat of the Municipality of Alajuela canton, it is awarded the status of city. By virtue of being the city of the first canton of the province, it i ...

Costa Rica Costa Rica (, ; ; literally "Rich Coast"), officially the Republic of Costa Rica ( es, República de Costa Rica), is a country in the Central American region of North America, bordered by Nicaragua to the north, the Caribbean Sea to the no ...

. In addition the group also operates Pampa Villa and Kayal Villa two boutique hotels in Kerala, as well as 10

Kettuvallam Kettuvallam is a houseboat widely used in the Indian state of Kerala. These have thatched roof covers over wooden hulls.Ayub, Akber (ed), ''Kerala: Maps & More'', ''Backwaters'', 2006 edition 2007 reprint, p. 47, Stark World Publishing, Ban ...

's in Kerala which operate under the brand 'Xandari River Escapes'. Xandari River Escapes has been given a five star rating by Trip Advisor. The group provides tours and travel services through the brand Travel Jango (earlier known as Travel Smart). The services offered by this division include international and domestic air ticketing, tour packages, passport services, emigration and visa services, travel insurance, bus ticketing and foreign exchange.

Housing and infrastructure

Muthoot Housing & Infrastructure, formerly known as Muthoot Builders, was established in 1990. The infrastructure division has residential and commercial projects in South India.

Education

St George's School, New Delhi: It was founded in 1930. As of December 2012, the school has a staff strength of 130 teachers and student strength over 3000. The school operates under the

Central Board of Secondary Education The Central Board of Secondary Education (CBSE) is a national level board of education in India for public and private schools, controlled and managed by the Government of India. Established in 1929 by a resolution of the government, the Board ...

Muthoot College of Allied Health Sciences, Kozhencherry: The institute was established in 2004 and offers major health courses like MLT, MIT etc. Muthoot Institute of Science & Technology, Kochi: Commenced its first academic year in 2013. The institute offers courses in all streams of engineering under the Dr. A P J Abdul Kalam Technological University. Paul George Global School, New Delhi: Commenced operations in 2015. The school is recognized by the

Sanskara School,

Infopark, Kochi Infopark, Kochi is an information technology park situated in the city of Kochi, Kerala, India. Established in 2004 by the Government of Kerala, the park is spread over of campus across two phases, housing 541 companies which employ more than ...

: Commenced operations in 2016. The school operates under the

Energy

The group formed a dedicated venture – Muthoot Alternate Energy Resources and started a Wind Energy Project in 1993 with wind farms located in Muppandhal village in Kanyakumari district, Tamil Nadu.

Agriculture

The Muthoot Group operates this division on a large scale. Established in 1939, The plantations grow cardamom, tea, coconut and rubber. The division also undertakes a number of eco-friendly initiatives.

Operations outside India

Muthoot Global is a part of Muthoot Group with presence in UAE, US and UK, currently dealing in Gold Loans, Money Transfer, Travel & Tourism and eCommerce. UAE operations commenced in 2002, UK operations started in 2007 and US in 2010. The group plans to diversify its foreign operations to Singapore, Germany and other

GCC countries The Cooperation Council for the Arab States of the Gulf ( ar, مجلس التعاون لدول العربية الخليج ), also known as the Gulf Cooperation Council (GCC; ar, مجلس التعاون الخليجي), is a regional, interg ...

in future. * Muthoot Finserve USA Inc is based out of

New Jersey New Jersey is a state in the Mid-Atlantic and Northeastern regions of the United States. It is bordered on the north and east by the state of New York; on the east, southeast, and south by the Atlantic Ocean; on the west by the Delaware ...

, US. The company offers wire transfer services between US and India. * Muthoot Finance USA LTD is based out of

, US. * Muthoot Finance UK is based out of

London London is the capital and largest city of England and the United Kingdom, with a population of just under 9 million. It stands on the River Thames in south-east England at the head of a estuary down to the North Sea, and has been a majo ...

, UK. It currently operates 6 branches within the

Greater London Greater may refer to: *Greatness, the state of being great *Greater than, in inequality (mathematics), inequality *Greater (film), ''Greater'' (film), a 2016 American film *Greater (flamingo), the oldest flamingo on record *Greater (song), "Greate ...

area, and primarily provides financial services to the South Asian community. * Muthoot Global Money Transfers is based out of

, UK. The company provides wire transfer services between UK and India. * Xandari Resort & Spa is located in

. It is a luxury hotel located within a 30-acre plantation 30 minutes of

San José, Costa Rica San José (; meaning "Saint Joseph") is the capital and largest city of Costa Rica, and the capital of the province of the same name. It is in the center of the country, in the mid-west of the Central Valley, within San José Canton. San ...

* Asia Asset Finance is headquartered in

Colombo Colombo ( ; si, කොළඹ, translit=Koḷam̆ba, ; ta, கொழும்பு, translit=Koḻumpu, ) is the executive and judicial capital and largest city of Sri Lanka by population. According to the Brookings Institution, Colombo me ...

Sri Lanka Sri Lanka (, ; si, ශ්‍රී ලංකා, Śrī Laṅkā, translit-std=ISO (); ta, இலங்கை, Ilaṅkai, translit-std=ISO ()), formerly known as Ceylon and officially the Democratic Socialist Republic of Sri Lanka, is an ...

. Muthoot Group acquired a majority stake in the company in 2012. Asia Asset Finance is engaged in equipment finance and gold loans.

Sports sponsorships

Delhi Daredevils Delhi Capitals (formerly Delhi Daredevils) are a franchise cricket team based out of Delhi in the Indian Premier League (IPL). The franchise is jointly owned by the GMR Group and the JSW Group. The team's home ground is Arun Jaitley Stadium, ...

IPL 2011–2013. The Muthoot Group has been the main sponsor of the team, with the branding on the t-shirt chest of the Jerseys.

Philanthropy

The Muthoot Group's corporate social responsibility efforts are directed towards proper sanitation, education, welfare of the lower income Group of the nation, health and technology and environmental awareness and conservation. The Muthoot Group's Charitable actions/events are all conducted by the Muthoot M George Foundation.

Environment research foundation

The Periyar Foundation set up by Muthoot Hotels is based in the town of Thekkady, near the Periyar National Park has undertaken several projects for the conservation of the national park including 'vasantha sena' and a research study along with the National Institute of Advance Studies for the conservation of 'Nocturnal Flying Squirrels'.

Partnership

The company has signed a partnership agreement with UST Global to expand its business into digital.

References

{{DEFAULTSORT:The Muthoot Group) Companies based in Kochi Conglomerate companies of India Financial services companies of India Indian companies established in 1887 Financial services companies established in 1887 Companies based in Kerala Muthoot Group