JM Financial Ltd.

JM Financial has received approval for acquisition of 42.99% stake in JM Financial Credit Solutions (JMFCSL) for a consideration of around Rs 1,282 crore. Post transaction, the stake held by JM Financial in JMFCSL shall increase from 46.68% to 89.67%.

The company has also received approval for acquisition of 71.79% stake in JM Financial Asset Reconstruction Company (JMFARC) by JMFCSL for a consideration of around Rs 856 crore. Post transaction the stake held by JMFCSL in JMFARC shall increase from 9.98% to 81.77%. The Board of Directors of the company at its meeting held on July 6, 2024, has approved the same.

The Proposed Transaction shall result in a net cash outflow of around Rs 426 crore from JM Financial and shall be funded from surplus cash. The Proposed Transaction is subject to applicable regulatory, shareholders and other approvals and is expected to be completed in 3-6 months.

JM Financial is an integrated financial services group offering a wide range of capital market services to its corporate and individual clients.