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Sundaram Finance is the NBFC arm of the South based TVS group with decades of experience in lending. Its focus is on vehicle finance where it has built a strong franchise based on conservative lending. Its subsidiaries are engaged in insurance, housing finance and asset management. The company has a stellar track record and despite the many upheavals in the NBFC space it has contained credit costs and sustained operations. Recent performance has been good with near normalcy in disbursement and collections which were marginally impacted by the second Covid wave. We have a neutral weight rating given present valuations and industry dynamics – 24-08-2021 Price: 2534.30 Rating: Neutral Recommendation: Hold

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