Kotak Mahindra Bank is set to create a separate vertical for mid-market companies having turnover of Rs 500-1,500 crore to up its focus on the segment.

The private sector lender is also keen to increase its focus on high-margin structured finance, a top official has said.

At present the mid-market segment is part of the large corporate team, which covers companies from Rs 500-6,000 crore. From April 1 onwards, the new vertical will be created while the large corporate team will serve clients having revenues Rs 1,500-6,000 crore.

“Our large corporate growth is relatively benign compared to SME (under Rs 500 crore revenue companies) growth, and that is one of the reasons for this change. Mid-market opportunity is large and we believe we are under-penetrated in this segment,” Paritosh Kashyap, president, and head of wholesale banking, told PTI.

Kashyap said the latest reorganisation is driven by the need to get more focus on the segment and grow it faster than what it would have grown under the older way of organising the business.