Inditrade proposes to divest its equity broking business and invest up to ₹24 crore for acquiring additional shareholding in JRG Fincorp, an NBFC, and ₹11 crore in Inditrade Housing Finance.

Sudip Bandyopadhyay, Group Chairman, Inditrade, made the announcement after a board meeting of the company on Friday.

“Our focus for the last few years has been clearly on NBFC and microminance. We now want to zero in on chosen areas, and hence the decision to exit equity broking,” he said.

“This would allow both JRG Fincorp and Inditrade Housing Finance to strengthen their southern presence and concentrate on the lending business.” The company has divested its equity broking business to Choice Equity Broking, part of the Mumbai-based Choice Group of Companies.

The latter plans to expand its presence in the South through this acquisition, which brings with it 1.2 lakh additional customers, 320 employees and 440 franchises and business associates.

Kamal Poddar, Managing Director, Choice Group, said that the acquisition is a key milestone and step towards its objective of being among the top 10 brokerage firms in India.

“The deal will also help our holistic financial services conglomerate to leverage cross-selling opportunities across products.”

Separately, Inditrade Capital has announced plans to introduce ‘organised finance’ for borrowers from hitherto unserved or underserved segments of the financial sector.

Explaining, Bandyopadhyay said that it plans to enter housing finance with special focus on the affordable segment as also give out merchant cash advances, which it will launch later this month.

This is even as the company continues to expand its existing businesses of agri commodity financing and microfinance.

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