Tata Capital Forays into Gold Loans With Yogloans Acquisition
Tata Capital is stepping into India's rapidly expanding gold loan sector by acquiring a controlling interest in Kerala-based non-banking financial company (NBFC) Yogakshemam Loans Ltd (Yogloans), thereby enhancing its retail lending portfolio through a recognized entity in the secured lending space.
Pending regulatory approvals and standard closing conditions, the arrangement will provide Tata Capital with roughly an 88.6 percent ownership in the gold loan-centric NBFC.
"This transaction marks Tata Capital's entry into the gold loan business, adding a secured lending product with significant growth potential to our retail lending portfolio and supporting our strategy of building a diversified lending franchise," says Managing Director and CEO, Rajiv Sabharwal.
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The company's foray into the market occurs as India's gold loan sector keeps growing, propelled by increasing gold prices and a heightened need for rapid, collateralized loans. The market reached a valuation of $3.8 billion in 2025 and is expected to grow to $5.2 billion by 2034, exhibiting a CAGR of 3.61 percent from 2026 to 2034, as reported by research firm IMARC Group. The growth was ascribed to rising consumer demand for easy credit and elevated gold prices.
Yogloans has a network of 162 locations throughout Kerala, Karnataka, Tamil Nadu, and Andhra Pradesh. As of March 31, 2026, it managed assets worth Rs 708 crore and catered to approximately 32,000 customers for gold loans. In addition to gold loans, the firm provides vehicle loans, business loans, consumer durable loans, term loans, and microfinance loans.
Sabharwal noted that Yogloans has developed a robust business over the past ten years, and the integration of Tata Capital's brand, financial strength, technology, and risk management skills with Yogloans' market knowledge will facilitate growth and enhance customer experience.
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Yogloans is headed by promoter and Managing Director Unnikrishnan Idicharm Veetil, who will maintain his leadership role following the acquisition, ensuring stability for clients, staff, and business partners.
After the transaction is finalized, Tata Capital announced plans to integrate Yogloans at a suitable time, pending the necessary approvals.
Earlier, VinFast Auto India, part of the worldwide EV brand VinFast, has entered into a Memorandum of Understanding (MoU) with Tata Capital, the third-largest non-banking financial company (NBFC) in India, to offer auto and inventory financing for its exclusive dealer network.
The collaboration seeks to offer an extensive range of financing options to VinFast India's dealer network, aiding the company's growth goals in one of the largest and quickest-growing automotive markets globally.
Through the partnership, VinFast’s dealer affiliates will gain access to financing options designed to assist with working capital needs, inventory management, and network growth.
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The partnership unites VinFast’s growing dealer network with Tata Capital’s broad financing resources. Tata Capital, a prominent NBFC in India, offers a wide array of financing and credit options that enhance conventional banking services. The company caters to around 7.7 million clients with an extensive range of products and a national network of almost 1,500 branches.
Utilizing Tata Capital’s extensive branch network, digital resources, and financial knowledge, VinFast seeks to enhance its dealer ecosystem and aid its ongoing growth throughout the nation. The collaboration further supports the company’s wider objective of speeding up the adoption of sustainable transport solutions in one of the fastest-growing EV markets globally.