Dhanlaxmi Bank forays into gold retailing
Launches ‘Dhan’ gold coins in two denominations of 5 and 10 grams
Mumbai, July 4, 2011: Dhanlaxmi Bank, one of
’s fastest growing mid-size private sector banks, today entered the gold retailing business with the launch of ‘Dhan’ gold coins. The 24-carat gold coins will be available in a tamper-proof pack in two denominations of 5 and 10 grams at the bank’s 275 branches across the country. India
‘Dhan’ gold coins with a purity of 99.99% will carry Assay certification, signifying highest purity of gold as per international standards. The pure gold coins will be imported from
based PAMP S.A. Geneva (Produits Artistiques Metaux Precieux), one of the world’s premier gold refiners. Switzerland
As a first in the industry, ‘Dhan’ gold coins will available in an elegant wooden case with aesthetic designs depicting traditional Indian mural signifying the arrival of prosperity. The attractive package is visually appealing and functional in nature to help prevent damage during storage or transit.
The launch of gold retailing marks the second phase of the bank’s bullion business. In June 2011, the bank rolled out its wholesale initiative – 24-carat gold bars weighing one kilogram.
On the occasion, Mr. Bipin Kabra, Chief Financial Officer, Dhanlaxmi Bank, said, “The launch of gold retailing is part of the bank’s overall strategy to be a leading provider of end-to-end investment products and services across all verticals. With this launch, we aim to become one of the leading players in the bullion business in the next couple of years.”
“We see a lot of potential in gold as an asset class. With higher disposable income and near term inflationary expectations, investment in gold will allow investors to hedge and diversify their savings and investment portfolio,” Mr. Kabra added.
In 2010, global gold demand reached a 10 year high of 3,812.2 tonnes. Demand was up 9% year-on-year, and marginally above the previous peak of 2008 despite a 40% increase in the annual average price level between 2008 and 2010.
About Dhanlaxmi Bank:
Dhanlaxmi Bank is an 84-year old bank, being incorporated in 1927 at Thrissur, Kerala. In the last three years, it has transformed into a well diversified bank with a pan-India presence from being an SME focused South
based bank. With a network of 275 branches and 460 ATMs covering 160 centers across 14 states, the bank services a broad customer base of 1.6 million. The bank provides a suite of banking products and services to its customers across Retail Banking, Wholesale Banking, Microfinance and Agricultural Lending and Small and Medium Enterprises Group. India
During the last three years, Dhanlaxmi Bank’s total deposits increased from Rs 3,608 crore as on March 31, 2008 to Rs. 12,530 crore as on March 31, 2011, advances rose from Rs. 2,102 crore as on March 31, 2008 to Rs. 9,065 crore as on March 31, 2011. The bank had a total business of Rs. 21,595 crore, as on March 31, 2011 with total asset base at Rs. 14,268 crore.
The shares of the bank are listed on the Bombay Stock Exchange Limited, the National Stock Exchange of India Limited and the Cochin Stock Exchange.