Bhubaneswar, 19th May, 2010: Magma Fincorp Limited today announced its growth plans for Orissa. Magma, a leading asset finance company of the country, will be re-launching its product - Suvidha loan very soon. Suvidha will offer loans on all makes of used commercial vehicles and used construction equipment, with most attractive interest rates and tailor made schemes. Simple documentation and quick turnaround time will ensure convenience of prospective customers. Under the captive Suvidha programme Magma would be offering loans to the existing customers.

Magma will also disburse Rs 311 crores in retail loans in the state in 2010-11. The company already has deep penetration in the state with presence in 14 locations which will help to achieve the ambitious business goal.

Mr. Debasish Roy Choudhury, Regional Sales Manager, Magma Fincorp Limited said, "By penetrating deeper in the State, we will focus on providing asset finance to the economically disenfranchised in the state. We expect to grow our business in the state by over 87% in the current financial year. Suvidha will be one of the high yield growth drivers for us in Orissa. There would be a considerable increase in our manpower requirements also. Our target is to sustain the high market share in the state".

Tractor finance, Car and Construction Equipment finance have been the major growth drivers this year for Magma in Orissa. Tractor Finance business grew by a staggering 127% - thus emphasizing on the companies focus on rural markets and it's motto of bringing equality of opportunity to the economically disenfranchised.

Magma has presence in Anandapur, Angul, Balasore, Barbil, Behrampur, Bhubaneshwar, Bolangir, Chandikhol, Jajpur, Jharsuguda, Keonjhar, Paradeep, Rourkela & Sambalpur in Orissa and employs over 400 people in the state.

Recently Magma has made top level management restructuring, thereby creating a new position of Chief Operating Officer and Chief of Receivables Management. Mr Ashutosh Shukla, a company veteran, has been appointed COO while Mr G P Pattanaik is the new Chief of Receivables Management. Mr V Lakshmi Narasimhan has been appointed the new Chief Financial Officer of the company. All the new appointments are effective 1st April, 2010.

About Magma Fincorp Limited

Magma Fincorp Limited ("Magma") is a non-deposit taking non-banking finance company (NBFC), registered with the Reserve Bank of India (RBI) as an Asset Finance Company.

Magma provides a bouquet of financial products including financing of Utility Vehicles & Cars, Commercial Vehicles, Construction Equipments, Tractors and SME Loans. Magma has a dedicated base of over 2.5 lac customers and has assets of approximately INR 9390 crores under management. The company has 154 branches in 20 states and 1 union territory and employs over 4600 people.

Magma has recently signed a joint venture with HDI Gerling, part of Talanx Group, Germany's third largest insurance group to start a general insurance company in India. The new company will be head quartered in Kolkata.