IDFC Bank buy Copthall Mauritius shares; invests in IIFL Holdings

The private sector lender, IDFC Bank, buys approximately 5 per cent stake in IIFL Holdings for Rs 502.54 crore. The bank has bought around 1.58 crore shares at Rs 317 each from Copthall Mauritius Investment, a JP Morgan investment vehicle.

As of December quarter, Copthall Mauritius Investment held 5.13 per cent in IIFL Holdings. The shareholding pattern of IIFL Holdings indicates that promoters, led by founder and chairman Nirmal Jain, own about 29.08 per cent, while Hamblin Watsa Investment Counsel (HWIC) Asia Fund, an affiliate of Prem Watsa-led Fairfax Financial Holdings, held about 8.8 per cent. Fairfax had first invested in IIFL in 2011.

In July 2016, the UK government-owned development finance institution-CDC Group Plc invested Rs 1,000 crore in the non-banking financial arm of IIFL Holdings. Meanwhile, in November 2016, IIFL has acquired Samasta Microfinance, a Bengaluru-based non-banking financial company to enter microfinance and expand its offerings.

IIFL is managing total assets of Rs 20,474 crore till the end of Q2FY17. The share price of IIFL Holdings decreased 0.72 per cent in early trade and is trading at Rs 318.2 in intraday basis. The share price of the company has given returns of 66.36 per cent in last one year.