Active Stocks
Thu Mar 28 2024 15:59:16
  1. Tata Steel share price
  2. 155.90 2.00%
  1. ICICI Bank share price
  2. 1,095.75 1.08%
  1. HDFC Bank share price
  2. 1,448.20 0.52%
  1. ITC share price
  2. 428.55 0.13%
  1. Power Grid Corporation Of India share price
  2. 277.05 2.21%
Business News/ Companies / Religare Finvest to sell 5% stake to PE firm for 200 cr
BackBack

Religare Finvest to sell 5% stake to PE firm for ₹200 cr

Religare Finvest to sell 5% stake to PE firm for ₹200 cr

Premium


New Delhi: Private equity firm Jacob Dallas may acquire a 5% stake in Religare Finvest, a non-banking financial services arm of Religare Enterprises, for about 200 crore.

The deal would value the company, an NBFC focussed on the MSME segment, at close to 4,000 crore and would be its second private equity investment in a quick succession.

Earlier, Avigo Capital had invested 150 crore in Religare Finvest.

Religare Finvest provides debt capital to MSMEs (micro, small and medium enterprises) in form of loans against property, working capital loans, loans against plant and machinery, vehicles and construction equipments and loan against marketable securities,, among others.

The company has more than 25,000 MSME accounts and its loan book stood at about 11,400 crore as on 30 September.

The PE fund is expected to help the company meet its growing capital requirements.

The deal comes at a time when various regulatory changes are taking place in the non-banking financial sector. Besides, a continuous rise in interest raqtes has also put pressure on the business margins for the NBFC sector, while the shares of listed companies have been hurt badly in recent months.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

Catch all the Corporate news and Updates on Live Mint. Download The Mint News App to get Daily Market Updates & Live Business News.
More Less
Published: 29 Dec 2011, 05:27 PM IST
Next Story footLogo
Recommended For You
Switch to the Mint app for fast and personalized news - Get App

Chat with MintGenie