Mercantile Investments and Finance

What Mercantile Investments and Finance does

Mercantile Investments and Finance PLC is a Sri Lankan non-bank financial institution incorporated in 1964, listed on the Second Board of the Colombo Stock Exchange, and licensed under the Finance Business Act No. 42 of 2011 by the Central Bank of Sri Lanka. Operating under the brand "MI Finance," it runs an islandwide network of 91 branches and serves over 250,000 individuals, SMEs, micro-entrepreneurs, and corporate clients across all nine provinces. The company carries a Fitch credit rating of BBB-(lka) with a stable outlook and holds membership in the Sri Lanka Deposit Insurance Scheme, with deposit insurance coverage up to Rs. 1,100,000 per depositor.

The core product set is anchored on vehicle and equipment leasing (a 50-year legacy line), a diversified lending book (personal, vehicle, mortgage, ADI Quick Cash), fixed deposits (Rs. 50 billion deposit base), savings products (general, senior, micro, and kids' savings under the Mercantile Podiththo scheme), and gold-backed loans which grew six-fold from Rs. 2 billion to Rs. 12 billion. Adjacent lines include Ran Seettu gold jewellery financing through 200+ partner jewellers, Mercantile Solar Loans for renewable energy, the Pragathi Sustainable Business Loan for green and inclusive enterprises, and a vehicle ecosystem spanning sales, service (Kohuwela centre operating since 1964), valuation, and an online repossessed-vehicle marketplace (Ratha Niwahana). Digital infrastructure comprises an online payment portal, WhatsApp business support, e-wallets, internet banking, and card services, with a 2026 MoU with the Department for Registration of Persons enabling real-time government-grade KYC verification for paperless onboarding.

The business model is spread-based: the company accepts retail and institutional deposits (standard and Kruthaguna fixed deposit products at up to 13.25%–13.75% p.a.) and on-lends via leasing, personal and vehicle loans, gold loans, and emerging green/agri financing at a standard 17% lending rate. Revenue is supplemented by vehicle sales, service-centre fees, valuation certificates, and bundled complimentary insurance on gold loans. Distribution is branch-led direct-to-consumer, supported by a 1,872-strong workforce as of November 2025, with strategic emphasis on financial inclusion across rural and underserved segments via 13 dedicated Pragathi branches.

Name

Mercantile Investments and Finance

Legal name

Mercantile Investments and Finance PLC

Website

https://mi.com.lk

Company type

Public

Founded year

1964

Operating status

Operating

Headcount range

501–1,000 employees

Short description

Mercantile Investments and Finance PLC is a Sri Lankan licensed non-bank financial institution operating 91 branches, offering leasing, loans, fixed deposits, gold loans, and sustainable financing products to over 250,000 retail, SME, and micro-entrepreneur customers across all provinces.

Ownership category

akta.pro rank

Product category

Consumer Finance

NAICS

Finance and Insurance (52), Sales Financing (52222)

SIC

Short-Term Business Credit Institutions (6153)

akta.pro primary industry

Distributor & Dealer Finance (Channel Financing) (FSABAHAE)

akta.pro secondary industries

Inventory & Warehouse Finance (Warehouse Receipts, Stock Finance) (FSABAHAF), SME Trade Finance & Working Capital (LCs, Guarantees, Receivables) (FSABABAF)

Keywords

• Vehicle leasing
• Fixed deposits
• Gold loans
• Personal loans
• Micro finance

Headquarters

HQ city

Colombo

HQ country

Sri Lanka

HQ region

Asia

Offices8 records

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Operations, Infrastructure, Supply Chain, Marketing or Sales, Technology or R&D

Revenue model

1. Leasing: Vehicle and equipment leasing facilities generating interest income from financing vehicles (cars, vans, three-wheelers, bikes, lorries, buses) and other assets over fixed terms. Key product with over 50 years of experience.
2. Loan Facilities: Vehicle loans, personal loans (Term Loan End of Period and Reducing), ADI Quick Cash facilities, and property mortgage loans generating interest income from lending activities.
3. Fixed Deposits: Acceptance of fixed deposits from retail and institutional customers, forming a significant portion of the Rs. 50 billion deposit base. Deposits serve as a key funding source for lending activities.
4. Savings Accounts: General savings accounts (MI Max Savings, Senior Savings, Micro Savings) and kids savings accounts (Mercantile Podiththo) generating a stable deposit base through recurring customer savings.
5. Gold Loans: Gold-backed loans where customers pledge gold jewelry as collateral for quick cash. The company has grown this portfolio six-fold from Rs. 2 billion to Rs. 12 billion. Complimentary insurance coverage included.
6. Vehicle Sales: Sale of brand new and reconditioned vehicles as a supplementary service alongside core financial solutions, including trade-in facilities and in-house insurance.
7. Vehicle Maintenance and Repair Services: Fully-fledged vehicle service and repair centre in Kohuwela providing servicing, repairs, painting, and valuation services for all vehicle types.
8. Valuation Services: Comprehensive valuation certificates for vehicles, lands, and other assets provided to customers as part of the one-stop shop concept.

Pricing tiers

Go-to-market motion2 records

Distribution channels7 records

Marketing channels5 records

Core offering

Mercantile Investments and Finance PLC is a licensed non-bank financial institution in Sri Lanka offering a comprehensive suite of financial products including vehicle and equipment leasing, personal and mortgage loans, fixed deposits, savings accounts, gold-backed loans, solar financing, and business loans. The company complements its lending and deposit products with vehicle sales, maintenance, valuation, and asset disposal services delivered through an islandwide branch network of 91 locations.

Product overview

Mercantile Investments and Finance PLC is a licensed finance company in Sri Lanka operating as a non-bank financial institution for over 60 years. The company offers a comprehensive suite of financial products organized into main products and vehicle products categories. Main products include Leasing (vehicle and equipment financing), Loans (Vehicle Loans, Personal Loans, ADI Facility, Property Mortgage Loans), Fixed Deposits, General Savings, Kids Savings, Pragathi Sustainable Business Loan, Gold Loans, Mercantile Solar Loans, and Ran Seettu (gold jewelry financing). Vehicle products include Ratha Niwahana (repossessed vehicles for sale), Vehicle Sales, Vehicle Maintenance services, Valuation Center, and MI Yard Vehicles. The company also provides digital services through its online payment portal. With 91 branches island-wide, the company serves individual customers, entrepreneurs, SMEs, and corporate clients across Sri Lanka.

Differentiator

Problem solved

Functional benefit

Products and services

• Leasing Vehicle and equipment leasing facilities providing financing for cars, vans, three-wheelers, bikes, lorries, and buses over fixed terms with competitive rates and flexible payment plans. Targets individual customers, SMEs, and businesses needing asset financing.
• Loan Facilities Loan facilities comprising Vehicle Loans, Personal Loans (Term Loan End of Period and Reducing balance), ADI Quick Cash facilities, and Property Mortgage Loans designed to meet emergency financing needs and personal investments for individuals and SMEs.
• Fixed Deposits Fixed deposit products offering competitive interest rates from 7.25% to 13.25% p.a. with flexible maturity periods from 1 to 60 months across Standard and Kruthaguna schemes, available with monthly or maturity payouts. Deposits are insured under the Sri Lanka Deposit Insurance Scheme.
• General Savings Accounts General savings accounts including MI Max Savings, Senior Savings, and Micro Savings, designed to encourage saving habits and financial security among Sri Lankan retail customers with interest rates from 3% to 5%.
• Kids Savings (Mercantile Podiththo) Minor savings account product cultivating savings habits among children below 18 years, featuring Mercantile Podiththo Gift Scheme (3.5%) with gift items based on savings balance, and Mercantile Podiththo High Interest Rate Scheme (6%), both including hospitalization insurance.
• Gold Loan Gold-backed loan facility allowing customers to access funds using gold jewelry as collateral, featuring 3-minute processing, no interest for first 10 days, loans from Rs. 5,000 onwards, and complimentary insurance coverage including life, disability, and hospitalization benefits.
• Mercantile Solar Loans Financing solutions for solar installations enabling homeowners and businesses to reduce energy bills, financing up to 80% of solar investment with attractive fixed interest rates and flexible repayment up to 6 years through pre-approved solar suppliers.
• Pragathi Sustainable Business Loan Purpose-driven financing for individuals, communities, entrepreneurs, and MSMEs contributing to inclusive, resilient, and environmentally sustainable development, covering climate-smart agriculture, sustainable fisheries, renewable energy, green innovation, and inclusive economic activities with fast-tracked approvals for women, youth, and rural enterprises.
• Ran Seettu Gold Jewellery Financing Gold jewellery financing enabling customers to purchase new gold jewellery through 200+ registered jewellery partners by paying 30% upfront while MI Finance finances up to 70% of the assessed gold value, repayable through monthly installments over 12-24 months.
• Vehicle Sales Sale of brand new and reconditioned vehicles with comprehensive 3-month warranty, finance facilities, in-house insurance, on-the-spot processing, and trade-in facilities, supported by professional after-sales services.
• Vehicle Maintenance and Repair Services Fully-fledged vehicle service and repair centre in Kohuwela (No. 28, Sunethra Devi Road) operating since 1964, providing servicing, repairs, painting with computerized colour mixing, and valuation services for all vehicle types at affordable prices.
• Valuation Services Comprehensive valuation certificates for vehicles, lands, and other assets provided as part of the company's one-stop shop concept, enabling customers to obtain valuation without cumbersome third-party processes.

Quantifiable outcome

• Lending portfolio grew from Rs. 37 billion to Rs. 75 billion
• +7 more outcomes

Named customers2 records

Segments6 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature3 records

Partnerships

Five partnerships are on record, tiered core and minor.

• Glorious Holdings (Pvt) LtdcoreStrategic or Co-development Partner · 26 June 2026Strategic partnership to promote sustainable agriculture through innovative financing solutions for high-yield agricultural projects, advanced greenhouse technologies, and environmentally responsible investments. Aligned with UN SDGs 2 (Zero Hunger), 8 (Decent Work), 9 (Industry, Innovation), and 13 (Climate Action). The partnership aims to empower entrepreneurs, farmers, and investors while contributing to productivity and resilience in Sri Lanka's agricultural sector.
• Department for Registration of Persons (DRP)coreTechnology or Integration · 10 March 2026MoU to integrate government-grade identity verification into MI Finance's systems for faster, more secure, and seamless customer onboarding. Enables instant KYC verification using official government data, reducing onboarding time from days to minutes and enabling a paperless experience.
• Marine and Environment Protection Authority (MEPA)minorStrategic or Co-development Partner · 15 November 2025MI Finance joined hands to sponsor the Beach Caretaker Programme launched by MEPA, contributing to environmental protection and marine conservation efforts in Sri Lanka.
• Clean Ocean Force LankaminorStrategic or Co-development Partner · 15 November 2025MI Finance led a beach clean-up at Crow Island Beach together with Clean Ocean Force Lanka as part of CSR environmental initiative.
• Sri Lanka Climate Fund (Pvt) LtdcoreTechnology or Integration · 1 January 2025Independent verification of MI's organization-level Greenhouse Gas (GHG) Statement for FY 2024/25 under ISO 14064-1:2018, in accordance with the Ministry of Environment. Supports alignment with Sri Lanka's NDCs and UN SDGs.

Scale indicators13 records

Recent moves10 records

Expansion highlights7 records

Emerging players

• Muthoot Finance Limited: India's largest gold loan-focused NBFC with a massive branch network. Comparable as a benchmark for MI Finance's fast-growing gold loan vertical, though operating in a different geography and at much larger scale.

Direct peers

• HNB Finance Limited: Subsidiary of Hatton National Bank offering leasing, fixed deposits, gold loans, and SME finance through a branch-led model. Competes directly with MI Finance across deposit-taking and asset products.
• People's Leasing & Finance PLC: Sri Lanka's largest licensed NBFI, offering leasing, loans, fixed deposits, savings, and gold loans through an islandwide branch network. Closest direct peer to MI Finance given product overlap and customer segment focus.
• Commercial Credit PLC: Sri Lankan NBFI focused on SME lending, gold loans, fixed deposits, and microfinance. Comparable in product mix and customer targeting to MI Finance's SME and micro segments.
• Central Finance PLC: Long-established Sri Lankan NBFI specializing in vehicle leasing, hire purchase, fixed deposits, and microfinance. Highly comparable to MI Finance's core leasing-and-deposit model.
• Softlogic Finance PLC: Sri Lankan NBFI providing leasing, loans, and deposit products to retail and SME customers. Comparable in scale, customer segment, and product mix to MI Finance.
• LOLC Finance PLC: Sri Lankan NBFI (part of LOLC Group) offering leasing, gold loans, microfinance, and SME finance with one of the largest branch networks in the country. Direct competitor across MI Finance's product set.
• Senkadagala Finance PLC: Sri Lankan licensed finance company offering leasing, loans, fixed deposits, and savings. Mid-tier NBFI with similar customer profile and product suite to MI Finance.
• Citizens Development Business Finance PLC: Sri Lankan NBFI providing SME lending, microfinance, leasing, and deposits with a strong rural and SME customer base. Directly comparable to MI Finance's Pragathi and rural-segment offerings.

Broad incumbents

• National Savings Bank (Sri Lanka): Sri Lanka's state-owned savings institution with the largest deposit base in the country. Competes with MI Finance on fixed deposits and savings, anchoring industry-wide FD pricing.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks5 records

Key highlights6 records

Customer concentration

• Xx.com/Mercantile_MI
• LinkedInlinkedin.com/company/mercantile-investments-ltd-

Compliance6 records

Revenue estimate

Valuation estimate

Number of profiles

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Mercantile Investments and Finance