International Finance Corporation (IFC) plans to invest $100 million in secured debt of Hero Fincorp Ltd belong to the Hero Group. 

Hero Fincorp is primarily into financing two-wheeler purchases, loans to micro, small and medium enterprises (MSME), personal loans, used car purchase loans, and corporate loans, IFC said. 

According to IFC, the proposed investment will enable Hero Fincorp to expand its loan book across its business verticals. 

The company will also deploy three times its loan amount, through its own resources and other sources of funding, towards the same target beneficiaries over the next three years, IFC added.

According to IFC, the consolidated loan portfolio composition of Hero Fincorp includes two-wheeler finance (37 percent), used car finance (7 percent), personal loans (11 percent), home loans (6 percent), MSME loans (21 percent), and corporate loans (18 percent).

The shareholders of Hero Fincorp include Hero MotorCorp Limited (41.2 percent), investment companies of the Munjal family (38.3 percent), Credit Suisse (2 percent), Chrys Capital (10 percent), and Apis Growth (2 percent), and HFCL’s dealers/employees (6.5 percent).