Archive · 12 Aug 2026
Godrej Finance to expand gold loan business in Andhra Pradesh
There is a big company in India that gives loans to people, and its name is Godrej Finance.
It is buying the gold loan business of another company called Kanakadurga Finance.
A gold loan is when people give their gold jewellery to a company and get money in return.
Godrej Finance wants to grow a lot in a part of India called Andhra Pradesh.
Right now it has 54 branches there, and within two years it wants 100 branches.
It also hopes to lend much more money and bring in many more customers.
The leader of the company, Pankaj Gupta, says both companies share a philosophy of creating prosperity.
The people who ran Kanakadurga Finance say they are confident the deal will protect their customer relationships.
They believe customers will get better technology and the strength of the bigger Godrej Group.
Godrej Finance Limited announced the acquisition of Kanakadurga Finance Limited's gold loan business.
Godrej Finance will expand its gold loan branch network in Andhra Pradesh from 54 to 100 branches over the next 24 months.
Gold loan assets under management in the state are targeted to rise from Rs 280 crore to Rs 600 crore.
The customer base in Andhra Pradesh is expected to grow from 12,000 to 25,000 customers.
The company aims for Rs 1,200 crore gold loan AUM in Andhra Pradesh by 2031 as part of a Rs 3,500-crore South India franchise.
- Who
- Godrej Finance Limited, led by Managing Director and CEO Pankaj Gupta, and Kanakadurga Finance Limited, led by Joint Managing Directors Jayaprakash Narayana and Srimannarayana.
- What
- Godrej Finance acquired Kanakadurga Finance's gold loan business and announced plans to expand its gold loan branches, assets, and customers in Andhra Pradesh.
- When
- The acquisition was announced on Tuesday; branch expansion is planned over the next 24 months, with the Andhra Pradesh AUM target set for 2031.
- Where
- Andhra Pradesh, with the announcement made in Vijayawada and expansion framed as part of a broader South India strategy.
- Why
- To strengthen Godrej Finance's presence in the organised gold loan market and build a larger consumer finance franchise across South India.
- Acquiring company
- Godrej Finance Limited (GFL)
- Acquisition target
- Gold loan business of Kanakadurga Finance Limited
- Andhra Pradesh branches
- 54 to 100 branches over next 24 months
- Gold loan AUM in Andhra Pradesh
- Rs 280 crore to Rs 600 crore
- Customer base in Andhra Pradesh
- 12,000 to 25,000 customers
- Andhra Pradesh AUM target by 2031
- Rs 1,200 crore
- South India franchise target
- Rs 3,500 crore gold loan AUM
- Kanakadurga Finance experience
- Over 13 years in the regional gold loan market