Abu Dhabi's IHC to acquire 41.5% stake in Sammaan Capital for Rs 8,850 crore

About this update from International Holding Company Pjsc

NBFC Sammaan Capital on March 31 announced that Abu Dhabi-based International Holding Company (IHC) will become its promoter after acquiring a 41.5% stake through a preferential allotment of equity shares and warrants.In an exchange filing, Sammaan Capital said it has received an initial tranche of Rs 5,652 crore towards the allotment of equity shares and warrants, with an additional Rs 3,198 crore to be received within a period of 18 months upon conversion of the warrants into fully paid equity shares.The investment will be routed through IHC's affiliate Avenir Investment RSC.Avenir plans to increase stake to 63.3%, said Sammaan Capital."In accordance with applicable guidelines, Avenir shall work on concluding the open offer within 30 days, which was announced atINR 139 perfully paid equity share of Sammaan Capital. Upon completion of the open offer, and assuming full uptake in the open offer, IHC, through Avenir will hold 63.3% stake in Sammaan Capital."IHC's investment in Sammaan Capital, one of the 15 Upper Layer NBFCs in India, marks a significant milestone, elevating it into a select group of large Upper-Layer NBFCs backed by a multinational conglomerate and strengthening its position among leading, well-capitalised financial institutions in the country. As a strategic Promoter, IHC brings substantial capital, global funding networks and institutional relationships that will meaningfully enhance Sammaan Capital's financial flexibility and support its growth ambitions," said Sammaan Capital in the filing.Sammaan Capital said it shall transition from a pureplay mortgage financier to a diversified NBFC by targeting mid- to low-income borrowers through its expanding pan India branch network offering products going beyond mortgage loans to retail products including secured/unsecured MSME, personal loans, business loans, gold loans, etc."This shall be achieved by keeping compliance and risk management at the core of the company’s operations. IHC’s institutional strength and global ecosystem will further support Sammaan Capital with enhanced digital and AI capabilities, as well as high standards of governance aligned with global best practices," said the company.Syed Basar Shueb, CEO of IHC, said: “This milestone marks an important step in our long-term strategy to expand in India’s financial services sector. By becoming a promoter of Sammaan Capital, we a...

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