Marwadi Chandarana Intermediaries Brokers (Acquirer), an entity of Marwadi Chandarana Group (MCG) has entered into definitive documents to acquire a majority stake (approximately 75%) in TruCap Finance (TruCap), a non-banking financial company. This investment will trigger an open offer under the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011.
MCG Group is a diversified Indian conglomerate with a strong presence in capital markets and financial services for over 30 years, and active interests in education and renewable energy. The Group has a combined net worth of approximately Rs 2,500 crore.
The proposed transaction entails a capital infusion into the company of an aggregate of approximately Rs 207 crore via a combination of preferential allotment of equity shares and convertible warrants, and a secondary purchase of 3,68,00,220 shares from the existing promoter group of TruCap. Following the completion of this investment, which is subject to receipt of necessary regulatory approvals and fulfilment of certain conditions precedent by the existing promoters, the Acquirer will be classified as the new ‘Promoter’ of TruCap, while the existing promoter group’s stake will reduce to Zero.
This transaction marks a significant milestone in TruCap’s journey and will result in a stronger balance sheet with formidable access to capital for sustainable growth in future years. With a network of 117 branches spread largely across Tier 2, Tier 3 and Tier 4 towns, TruCap will continue to focus on enhancing growth, profitability and capital efficiency through Gold Loans, MSME Business Loans and Electric Vehicles Financing.
TruCap Finance is a specialized MSME lender solving the gap in providing access to affordable credit solutions to entrepreneurs.
| Company Name | CMP |
|---|---|
| Power Finance Corp | 472.85 |
| REC | 382.20 |
| Indian Railway Fin. | 103.00 |
| NHIT | 151.00 |
| Satin Creditcare | 169.85 |
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