RBI Grants All Approvals for Bain Capital to Acquire Joint Control of Manappuram Finance and Its Subsidiaries
Chennai, Mar 19: Manappuram Finance Limited announced that its subsidiaries, Asirvad Micro Finance Limited (“AMFL”) and Manappuram Home Finance Limited (“MHFL”), have received the requisite approvals from the Reserve Bank of India (RBI) for an indirect change in control and management. This follows the proposed acquisition of control and shareholding in the Company by affiliates of Bain Capital.
The approvals represent a significant milestone, with the Company and its subsidiaries now having secured all necessary statutory clearances for Bain Capital’s proposed investment of approximately ₹4,385 crore. The transaction includes acquisition of joint control alongside existing promoters and a consequent open offer under the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011.
The Company and Bain Capital aim to complete the capital infusion by March 31, 2026, while the open offer will proceed in accordance with regulatory timelines. Upon completion, Bain Capital is expected to hold between 18.0% and 41.66% shareholding (on a fully diluted basis), while existing promoters will retain 28.9%.
Post-transaction, Bain Capital will be classified as a promoter and will jointly control the Company along with the existing promoters. The Boards of Directors of the Company and its subsidiaries will be reconstituted to include Bain Capital’s nominee directors, in line with the definitive agreements.
This strategic investment is expected to strengthen Manappuram Finance’s growth trajectory, enhance governance, and unlock long-term value across its lending and financial services businesses.
