SBI Cards to float expression of interest for JV partner

Chennai: Payment solutions provider SBI Cards and Payment Services on Tuesday said discussions were on to float expression of interest to identify a joint venture partner.

SBI Cards is a joint venture between country's largest lender State Bank of India and GE Capital. SBI owns majority stake of 60 percent while GE Capital holds the rest.

SBI Cards began the valuation exercise as GE Capital looks to exit the joint venture.

"Right now, the discussions are progressing. By two weeks time the Expression of Interests will be called for (to identify the joint venture partner)," SBI Cards CEO, Vijay Jasuja told reporters.

The company has a subscriber base of 3.2 million and reported a profit of Rs 267 crore as of March 31.

To a query, he said the company expects a 22-25 percent jump in terms of credit card business and group performance.

"We are expecting 22-25 percent growth overall including addition of new cards and also in terms of our financials. Last year as of March, PAT was Rs 267 crore," he said.

Asked if the company witnessed a surge on payments made through online portals, he said that "22 percent of transactions using our credit cards that were made through e-commerce sites in 2013-14 doubled to 45 percent last financial year."