Blitz Bureau
NEW DELHI: ABU Dhabi’s global investment company, IHC, has entered into an agreement to invest $1 billion (₹8,850 crore) in Sammaan Capital, for a 41.2 per cent stake, marking its entry into the financial services sector in India.
Sammaan Capital, (formerly known as Indiabulls Housing Finance), is a listed non-banking financial company (NBFC) focused primarily on mortgage lending.
At its meeting on October 2, the board cleared the issuance of 330 million equity shares at Rs 139 each, an 18 per cent discount to closing price of ₹169.55 on October 1, aggregating to about Rs 4,587 crore. It also approved 307 million warrants, convertible into equity shares, for around Rs 4,263 crore. The equity markets were closed on Thursday for a national holiday.
“The transaction will trigger a mandatory open offer for the purchase of an additional 26 per cent stake in the company on an expanded capital basis. Based on the open offer subscription, IHC’s stake post-investment will range between 41.2 per cent and 63.4 per cent on a fully diluted basis, including shares from warrant conversion,” the joint statement said. As a promoter, IHC will have the right to nominate the majority of the board of directors.
