Abu Dhabi-based International Holding Company has sought approval from the fair trade regulator CCI to purchase a 43.46% stake in Sammaan Capital for USD 1 billion [around ₹8,850 crore].
International Holding Company (IHC), through its affiliate Avenir Investment RSC Ltd, is acquiring the stake in Sammaan Capital.
"The proposed transaction pertains to the acquisition of certain shares of the target [Sammaan Capital Ltd] by the acquirer [Avenir Investment RSC Ltd]," according to a notice filed with the Competition Commission of India (CCI).
The parties (Avenir and Sammaan Capital) said the proposed transaction will not lead to any change in the competitive landscape or cause any appreciable adverse effects on competition in the country, irrespective of the manner in which the relevant market is delineated.
Sammaan Capital is an RBI-registered non-deposit-taking non-banking financial company, an investment and credit company (upper layer).
On Wednesday, Sammaan Capital said its shareholders approved the proposed sale of a 43.46% stake in the company for USD 1 billion.
Earlier this month, Abu Dhabi-based IHC announced that it has entered into an agreement to invest USD 1 billion (₹8,850 crore) and will pick up a 43.46% stake in Sammaan Capital.
"This USD 1 billion investment reaffirms our commitment to supporting Sammaan Capital in its next phase of development, including the adoption of AI to enhance lending and credit solutions, and to contributing meaningfully to India's financial ecosystem," Syed Basar Shueb, CEO of IHC, said.
The lender, formerly known as Indiabulls Housing Finance, will be raising the capital by issuing preferential shares to Avenir. IHC will foray into the financial services sector in India through the largest ever primary capital infusion by an investor in a non-bank financial company in the country.
"Joining the IHC Group opens new horizons for us. The alignment in our aspirations is deeply encouraging, and we believe our experienced and dynamic team will drive the next phase of growth with renewed energy and purpose," Gagan Banga, CEO and Managing Director of Sammaan Capital, said.
