Tata Capital (NSE:TATACAP, BOM:544574) plans to acquire an approximately 88.6% stake in RBI-registered NBFC Yogakshemam Loans for a pre-money equity valuation of up to 3.18 billion Indian rupees.
The all-cash transaction includes a primary capital infusion of about 930 million rupees, with Tata Capital acquiring shares from existing shareholders and investing fresh capital in Yogloans, according to a Monday filing on Indian stock exchanges. The deal is subject to regulatory approvals and other closing conditions.
The acquisition will mark Tata Capital's entry into the gold loan segment. Yogloans operates 162 branches across Kerala, Karnataka, Tamil Nadu and Andhra Pradesh, with about 32,000 gold loan customers.