Company enters tripartite
Harshil Mehta, CEO, Dewan Housing Finance Limited (DHFL) in an interview to CNBC-TV18 spoke about the company entering a tripartite MoU to offer 1-yr post graduate programme in financial services with NIIT, Institute of Finance Banking & Insurance Training (IFBI) & NIIT University. He also spoke about the company’s fourth quarter performance.
He said the students enrolled in the programme would be absorbed by the company in different capacities and also clarified that the company was not getting into the education business.
Below is the transcript of Harshil Mehta’s interview with CNBC-TV18's Reema Tendulkar and Mangalam Maloo.
Transcript of the interview
Reema: Walk us through the key reason for the company now getting into the education business and will there be any capital investment that you will be making?
A: Firstly let me clarify we are not getting into any education business. This is more a tie up with NIIT and IFBI to have the first batch of students who go through a special one-year course. After a one-year course which has a nine-month residential course in finance and banking and a three month on the job training with us at DHFL they are successfully on-boarded into the company in various roles.
We saw the reason for that was as we expand in our tier II and tier III locations where we have strong presence you always see the need for an employable talent in those locations and this is where we saw a win-win solution where you are able to get those graduates, train them and then give them a job so that it helps them be in their own location and have a job and it helps us retain talent over a period of time.
Perks offered to students
Mangalam: So are you indicating that every student who goes through this program will be given a job with DHFL or are they free to go to any other housing finance companies or any other employee that approach them as well?
A: As far as this course is concerned, every student who gets enrolled in this 12-month program and after they graduate will be absorbed by DHFL in various functions of the organisation in various locations across the country.
Reema: So of the money that you gain via fee structure what percent will come to your company and what percent will be shared by the other two partners?
A: From a DHFL perspective we don’t have to put in any money. Investment is only by way of working closely with those two partners in designing the course curriculum and also at regular intervals interacting with the students more as a visiting faculty. So, that is about it as far as DHFL is concerned.
Mangalam: Also wanted to know that the fees that the students will give, you also have education loan book. So, will DHFL be providing education loan for these fees as well?
A: DHFL, per se, is not into education loans; however one of our group companies, Evans is into education loans. And yes, students are free to apply to them for their education loans or they are free to apply anywhere else.