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Aditya Birla Capital share price jumps 3.5% on foray into gold loan biz | Markets News

Shares of Aditya Birla Capital rallied over 3.5 per cent in intraday deals on Thursday, August 20, after it announced its plan in the fast-growing gold loan business segment with a plan to open 1,000 branches in the next three years.

 


Aditya Birla Capital’s shares rose to the day’s peak of ₹410.20 on the National Stock Exchange (NSE), up 3.58 per cent from their last closing price of ₹396. As of 2.15 PM, it was trading 2.90 per cent higher at ₹407.50. NSE’s Nifty 50 index was up 0.66 per cent at 24,235 at the same time. 

 


So far in 2026, the investment company’s stock has gained 12.7 per cent, according to NSE data and is trading higher by 44 per cent in a year. 

 
 

Aditya Birla Capital joins other NBFCs like Tata Capital and Godrej Capital, which also announced plans to enter the gold loan business. 

 


Gold loans business has witnessed a phenomenal growth (34 per cent CAGR during FY21-FY26) driven by a surge in gold prices (24 per cent CAGR) and increasing adoption, said HDFC Securities in a report last month. This has led to a “gold rush” among lenders with existing players increasing focus on gold loans and ramping up their distribution, and new players (diversified NBFCs) in various phases of launching their gold loan product, said the brokerage.

 


Aditya Birla Capital gold loan biz details


The Aditya Birla group company, in a press release today, announced that its NBFC arm is tapping gold loan segment, marking a strategic expansion of its secured lending portfolio. 

 

The company has planned a phase-wise rollout of 200-300 dedicated gold loan branches by March 2027 across high-potential markets. Over the next three years, the ABCL-NBFC business aims to establish a network of around 1,000 gold loan branches, building a strong pan-India franchise and further strengthening its presence across the country, it added. READ MORE

 


Commenting on the launch, Rakesh Singh, Executive Director and CEO – NBFC, Aditya Birla Capital, said, “Gold loans are witnessing strong structural growth in India, and our entry into this segment is a natural extension of our secured lending strategy. In a category where trust is paramount, customers seek transparency, secure handling of their gold, and the confidence that their valuable assets are in safe and trusted hands. Backed by Aditya


Birla Group’s generational legacy of trust, integrity, and responsible stewardship, we are well positioned to serve these customer needs.”

 


The offering will cater to various customers across urban and semi-urban markets.

 

In FY26, the NBFC arm’s assets under management (AUM) grew 27 per cent year-on-year (Y-o-Y) to Rs 1,59,916 crore, with retail and SME comprising ~ 68 per cent of AUM, while disbursements grew 25 per cent to Rs 84,204 crore and profit before tax grew 20 per cent to Rs 4,023 crore. 

 


Disclaimer: Views and outlook shared belong to the respective brokerages/analysts and are not endorsed by Business Standard. Readers’ discretion is advised.

 

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