Lakshmi Vilas Bank, a private sector banking institution, announced its alliance with National Collateral Management Service (NCML), a major agri-infrastructure player, for collateral management and warehousing services.

These services will enable industry traders and farmers to financing their capital requirements at all stages of supply chain, ranging from pre-harvesting to the marketing and export stages. This would enable the bank to provide financial flexibility to farmers, reducing the seasonal price fluctuations and distress sales during crop harvest season.

Commenting on the tie-up, Rakesh Sharma, MD & CEO, Lakshmi Vilas Bank said, ''In yet another step ahead to offer superior services to its customers, farmers and to help Agribusiness and Agri Infrastructure to grow in a better way, we have entered in to this strategic alliance with NCML. We truly believe that this partnership with NCML will further deliver value to all our customers. Given the excellent and demonstrated track record of NCML, the partnership will enable Lakshmi Vilas Bank to mitigate credit risk for its Commodity Finance product offerings.  Lakshmi Vilas Bank has been at the forefront in evolving and adapting to the financial sector. We would want to make our Bank to be a preferred Bank for different customer segments.''

Shares of the bank declined Rs 1.15, or 1.14%, to trade at Rs 99.85. The total volume of shares traded was 108,545 at the BSE (2.59 p.m., Monday).