3 months ago
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Manappuram Finance Ltd. said it has received last support from the Reserve Bank of India (RBI) for the projected acquisition of associated power and shareholding of up to 41.66% of the company’s paid-up equity superior / convertible instruments by affiliates of Bain Capital, namely BC Asia Investments XXV Ltd and BC Asia Investments XIV Ltd.
The definitive agreements for this woody were executed connected March 20, 2025, nether which Bain Capital had committed to put astir ₹4,385 crore to get an 18.0% involvement connected a afloat diluted ground done preferential allotment of equity shares and warrants astatine a terms of ₹236 per share.
The transaction besides triggers a mandatory unfastened connection for the acquisition of an further 26.0% involvement from nationalist shareholders astatine ₹236 per share, successful accordance with SEBI norms. Based connected the unfastened connection subscription, Bain Capital’s involvement post-investment volition alteration betwixt 18.0% and 41.7% connected a afloat diluted ground (including shares to beryllium issued pursuant to workout of warrants). The existing promoters volition clasp 28.9% post-investment connected a afloat diluted basis.
With this approval, Bain Capital volition beryllium classified arsenic a promoter of the institution and volition jointly power Manappuram Finance on with the existing promoters,” the Kerala based institution said successful a statement. The Board volition beryllium reconstituted and willinclude nominee directors of Bain Capital, successful enactment with the transaction agreements.
V.P. Nandakumar, MD & CEO, Manappuram Finance Ltd, said, “This is an important milestone successful our concern and reflects the spot of our governance model and concern model. With Bain Capital coming connected committee arsenic a associated controlling shareholder, we are well-positioned to accelerate maturation successful our halfway segments, put further successful exertion and hazard absorption capabilities, and physique a professionally managed, future-ready fiscal services company.” “It volition besides assistance america heighten and grow our subdivision web pan-India,” Mr. Nandakumar added.
