New Delhi: Financial services company Capital Group has bought nearly a 1.5 per cent stake in IIFL Finance from Fairfax India's affiliate for Rs 374 crore through open market transactions, according to block deal data on the NSE.Following the stake purchase, shares of IIFL Finance on Friday rose 2.43 per cent to trade at Rs 622.60 apiece on the National Stock Exchange (NSE).US-based Capital Group, through its two affiliates, SmallCap World Fund Inc and American Funds Insurance Series Global Small Capitalization Fund, purchased a total of 63,39,355 shares, representing a 1.49 per cent stake in IIFL Finance.Also read: IIFL Finance raises $300 million via dollar bondsThe transactions were executed on Thursday at an average price of Rs 590 apiece, taking the deal size to Rs 374.02 crore, as per the data.On the other hand, FIH Mauritius Investments, a wholly owned subsidiary of Fairfax India, sold an equal number of shares at the same price.After the latest transaction, FIH Mauritius Investments' shareholding in IIFL Finance declined to 13.69 per cent from 15.18 per cent.Despite the stake sale, Fairfax India's affiliate continues to be the largest public shareholder in the Mumbai-based non-banking financial company.
Capital Group buys 1.5% stake in IIFL Fin for Rs 374 cr; stock rises over 2%
Capital Group bought a 1.49 percent stake in IIFL Finance for Rs 374 crore. This acquisition was made through open market transactions from Fairfax India's affiliate. US-based Capital Group purchased over 63 lakh shares at an average price of Rs 590. FIH Mauritius Investments, a Fairfax India subsidiary, sold an equal number of shares. Following this transaction, FIH Mauritius Investments' shareholding in IIFL Finance decreased.
TL;DRAI
Capital Group acquires 1.49% of IIFL Finance for Rs 374 crore, marking institutional entry into India's largest NBFC. The stake rotation signals governance maturation and validates fintech-lending models for tier-1 global capital allocators.
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