A Landmark Deal in Indian Finance

Abu Dhabi-based International Holding Company has made its boldest move in India yet by agreeing to acquire a controlling 43.5 percent stake in Sammaan Capital, formerly known as Indiabulls Housing Finance, for ₹8,850 crore. The deal, which will be executed through IHC’s Avenir Investment RSC Ltd, is being seen as the single largest primary capital infusion into an Indian non-banking financial company.

The investment includes a preferential allotment of 330 million equity shares worth about ₹4,587 crore and 300 million warrants valued at ₹4,262 crore, priced at ₹139 per share. This is at a discount to Sammaan Capital’s last closing price on the NSE before the Dussehra holiday.

Triggering a Larger Play

The transaction automatically triggers a mandatory open offer for an additional 26 percent stake in compliance with SEBI’s takeover rules. If fully subscribed, IHC’s shareholding in Sammaan Capital could rise to 63.4 percent on a fully diluted basis, giving it commanding control of the NBFC.

Once the deal is completed, IHC will be classified as promoter and will have the right to appoint a majority of directors on the company’s board, subject to regulatory approvals. For Sammaan Capital, which is 98 percent owned by public shareholders with 2 percent held under employee stock options, this marks a major turning point in its journey.

Future Ready with Capital and Technology

Gagan Banga, managing director and CEO of Sammaan Capital, called the investment transformative. He emphasized that institutional backing from a global player like IHC brings solidity, lowers borrowing costs, and allows the company to deliver stronger returns for shareholders.

He added that lending in the future will be increasingly shaped by technology. With IHC’s global ecosystem, including investments in companies at the cutting edge of AI and digital solutions, Sammaan Capital aims to strengthen its credit underwriting and borrower services to remain competitive.

Growth Ambitions and Strategic Vision

Sammaan Capital expects the deal to unlock access to low-cost capital, improve credit ratings, and enable growth across affordable housing and mid-market mortgage finance. The NBFC has set an ambitious target of reaching ₹1 trillion in assets under management by FY27 and ₹1 trillion in net profits by FY30, supported by this infusion.

The company also plans to diversify its debt profile and reduce the cost of borrowing by as much as 150 basis points over the next year. With a capital adequacy ratio expected to remain strong at 27 to 28 percent even by 2030, Sammaan Capital believes it will not need fresh equity but will continue to tap debt markets and foreign borrowings.

A Long-Term Partnership

Unlike private equity investors who often seek short-term exits, IHC is bringing patient, long-term capital. Its investment philosophy, coupled with a conservative approach to running businesses, aligns well with the needs of a financial services company navigating growth and regulatory stability.

Why This Matters

For IHC, which already has a global portfolio spanning asset management, healthcare, real estate, and IT, India represents a core strategic market. For Sammaan Capital, the entry of a strong promoter marks a fresh start after years of challenges and a full rebranding from its Indiabulls legacy.

As India’s housing finance sector expands with rising demand for affordable credit, the deal could well redefine how global institutional capital fuels Indian NBFC growth.

 

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