NBFC arm FinZ Finance to assign INR 95.79 crore loan portfolio to Auxilo Finserve, partial closure of lending ops

FinZ Finance Private Limited, the wholly owned NBFC arm, has entered into an agreement with Auxilo Finserve Private Limited, an RBI-registered NBFC, for sale, transfer and assignment of a loan portfolio of INR 95.79 crores.

Sun 4 Oct 2026

Loan portfolio assigned

INR 95.79 crores

Assignee

Auxilo Finserve Private Limited, an RBI-registered NBFC

Expected transition completion

next 60 days

Deed of assignment date

October 03, 2026

Unit net worth

60.30, being 1.18%

What has been announced

FinZ Finance Private Limited, the wholly owned subsidiary, has entered into an agreement with Auxilo Finserve Private Limited, an RBI-registered NBFC, for sale, transfer and assignment of a loan portfolio aggregating to INR 95.79 crores. The company states this portfolio constitutes a substantial/major part of FinZ Finance's total loan portfolio. Since the principal business activity of FinZ Finance is lending, the transaction amounts to a substantial reduction in its lending operations and is expected to result in a partial/piecemeal closure of its lending operations. The deed of assignment was entered by FinZ Finance on October 03, 2026. This follows the company's earlier intimation dated June 04, 2026, in which it had informed about the restructuring of the lending strategy of the NBFC segment.

The numbers disclosed

As per the financial statements as of March 31, 2026, the contribution of the unit/division is set out below. The amounts are stated in INR Crore:

• Revenue from operations: 0.00, being 0.00%
• Other income: 1.35, being 0.54%
• Total income: 1.35, being 0.04%
• Net worth: 60.30, being 1.18%
• Consideration for the assignment: INR 95.79 Crore

FinZ Finance commenced its business operations from the month of February 2026.

Timeline

• The transition in relation to the loans and the borrowers defined in the deed of assignment is expected to conclude in the next 60 days.

Why the company says it is doing this

• The closure of a substantial/major part of the total loan portfolio of FinZ Finance forms part of a broader strategic realignment.
• The stated aim is to focus on the company's core business operations and to optimise capital allocation.
• Lending activities are proposed to be facilitated through established and regulated third-party NBFCs.
• The company says this is expected to enable greater operational efficiency and reduce the associated balance sheet and credit risks.
• On impact on operations, the update states that the arrangement is intended to enable the company to remain focused on its core business.

Who is buying

Auxilo Finserve Private Limited (NBFC ID N-13.02186) is an RBI-registered non-banking financial company primarily focused on the education sector.

What this means in simple terms

• A loan portfolio is a pool of loans given out. Here, FinZ Finance is transferring loans of INR 95.79 crores to another NBFC, which will then hold and service them.
• Because lending was FinZ Finance's main activity, this transfer is described as a partial/piecemeal closure of that lending operation, with the transition expected to be completed in the next 60 days.
• Lending for the group is proposed to be routed through established third-party NBFCs rather than through FinZ Finance's own book.
• The company presents this as a way to stay focused on its core business; the disclosure also notes lower balance sheet and credit risk as the intended outcome.

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