|Mahindra & Mahindra Financial Services Limited (M&M FSL), a subsidiary of Mahindra & Mahindra Limited was incorporated on 1st January 1991 as Maxi Motors Financial Services Limited. One of India`s leading non-banking finance companies, focused on the rural and semi-urban sector, the company provide finance for Utility Vehicles (UV), tractors and cars and have the largest network of branches (80% of the districts in India) covering these areas. The company`s product portfolio includes right from finance for two wheelers, tractors, farm equipment, cars and utility vehicles to commercial vehicles and construction equipment also have a group of experts providing investment advice, surveying available market products and choosing the most suitable to customers` needs.
M&M FSL had received certificate of commencement of business on 19th February of the year 1991. The company`s name was changed from Maxi Motors Financial Services Limited to Mahindra & Mahindra Financial Services Limited on November 3, 1992. During the year 1993, the company had commenced financing of M&M Utility Vehicles as part of its work. M&M FSL had opened its first branch outside Mumbai, at Jaipur in the year 1995. Financing to M&M dealers for purchase of tractors was added to the company`s activities in the year 1996. M&M FSL had registered with the Reserve Bank of India (RBI) as a Non Banking Finance Company (NBFC) with effect from 4th September of the year 1998. Also in the same year of 1998, the company had launched pilot project for retail tractor financing. After a year, in 1999, M&M FSL had started tractor retail financing in rural and semi-urban areas. During the year 2002, apart from its parent company vehicles, the company started to financing of non-M&M vehicles and also in the same year, received Tier II debt from International Finance Corporation. In November of the year 2003, in recognition of its global competitiveness in terms of cost and quality, M&M received the Deming Prize awarded by the Japanese Union of Scientists & Engineers. M&M is the first tractor manufacturer in the world to receive this prize.
M&M FSL had received a long-term credit rating of AA+/Stable in the year 2004 and had opened a branch in Port Blair during the same year of 2004. During the year 2005, the company made tie up with Hindustan Petroleum Corporation Limited (HPCL) and formed Mahindra Insurance Brokers Ltd (MIBL) as a wholly owned subsidiary to undertake the insurance and related activities. The company had issued Initial Public Offerings (IPO) in the year of 2006. Also in the same year, M&M FSL made a tie up with Maruti to provide finance to all of the latter`s products, launched its marketing campaign and reached a new benchmark with 400 branches. M&M FSL won the `Pioneer Award` in the individual category of the Enterprise Connect Award 2007, instituted by Cybermedia India Online Ltd (CIOL) and Dataquest. As part of diversification, the company had forayed into the business of rural housing finance with the incorporation of Mahindra Rural Housing Finance Limited (MRHFL) on 9th April 2007, as the second wholly owned subsidiary. M&M FSL had honored with the Amity HR Excellence Award for Retention by the Amity Business School, Noida in August of the year 2008.
Opportunities galore in the rural and semi-urban market space, the company is poised to take the business forward on the pathway of new possibilities. Holding on to the ideal of sustained growth, M&M FSL plans to continue the competitive, flexible and expeditious lending service.|