SBI Cards to raise Rs 100 cr by next year

New Delhi, Aug 12: SBI Cards, a joint venture between State Bank of India (SBI) and GE Money, plans to raise Rs 100 crore in the next 12-14 months to maintain the capital adequacy and business expansion.

''Currently, we have a capital of Rs 250 crore and plan to raise Rs 100 crore in the next 12-14 months through equity and other instruments,'' said SBI Cards and Payment Services Ltd CEO Roopam Asthana.

The company, having more than 10 per cent capital adequacy, has presence in 110 locations across the country.

''We target to increase our reach to 150 locations by the end of the current fiscal,'' said Mr Asthana.

SBI Cards, the second largest credit card issuer in the country, has 3.5 million card holders which is second to the ICICI Bank that accounts for 7.5 million card holders.

''We expect to increase our card holders by 50 per cent in this fiscal,'' Mr Asthana said.

To expand its credit card business, the company will focus on departmental store, retail trade, healthcare and financial institutions.

Mr Asthana said the credit card outstanding as on December last year stood at Rs 12,000 crore which is much less than education Rs 13,000 crore, personal loan at Rs 4,27,000 crore and loan against property touching Rs 33,000 crore.

UNI