Aditya Birla Capital Approves Rs 4,000 Crore Fundraise Through Preferential Issue; International Finance Corporation (IFC) To Pick Stake

The Indian equity markets traded higher on Thursday, with the benchmark Nifty 50 index rising 0.47 per cent to 23,771.10 during the session. Financial services and NBFC stocks remained in focus amid fundraising announcements and capital infusion plans. In this segment, shares of Aditya Birla Capital traded marginally lower by 0.04 per cent at Rs 352.95 after the company announced a preferential equity issuance worth Rs 4,000 crore.

Aditya Birla Capital Approves Rs 4,000 Crore Fundraise

Aditya Birla Capital informed exchanges that its Board of Directors approved issuance of 11,23,53,236 fully paid-up equity shares through preferential allotment at an issue price of Rs 356.02 per equity share, aggregating up to Rs 4,000 crore. The preferential issue is subject to shareholder and regulatory approvals.

Under the approved proposal, Grasim Industries Ltd will invest up to Rs 2,880 crore through subscription to 8,08,94,331 equity shares. Suryaja Investments Pte. Ltd., a Singapore-based Aditya Birla Group entity, will invest Rs 200 crore through subscription to 56,17,661 equity shares, while International Finance Corporation (IFC) will invest Rs 920 crore through subscription to 2,58,41,244 equity shares.

Shareholding And Strategic Developments

Following the preferential allotment, Grasim Industries’ shareholding in Aditya Birla Capital will increase from 52.27 per cent to 53.08 per cent. IFC will hold around 0.95 per cent stake in the company post allotment, while Suryaja Investments will hold 0.21 per cent stake.

The company also executed a Share Subscription Agreement and Policy Agreement with IFC in connection with the proposed investment. The proceeds from the fundraise will be utilised towards strengthening the capital base, supporting lending business growth and other general corporate purposes including investments in subsidiaries and joint ventures.

Business Highlights

Aditya Birla Capital stated that its total lending portfolio across NBFC and housing finance businesses grew at a CAGR of 30 per cent over FY23-FY26 to cross Rs 2 lakh crore. Combined assets under management across asset management and insurance businesses grew at a CAGR of 18 per cent to around Rs 5.9 lakh crore.

The company further stated that total gross premiums across insurance businesses increased at a CAGR of 21 per cent to Rs 31,634 crore, while consolidated profit after Tax excluding exceptional and one-off items grew at a CAGR of 23 per cent to Rs 3,797 crore during FY26.

About Aditya Birla Capital

Aditya Birla Capital Ltd is a diversified financial services company engaged in lending, insurance, asset management, wealth management and payments businesses through its subsidiaries and joint ventures. The company operates across NBFC, housing finance, life insurance, health insurance and investment management segments with nationwide presence.

What are your views on Aditya Birla Capital’s Rs 4,000 crore preferential fundraise and growth plans across lending and insurance businesses? Share your thoughts in the comments below.
Disclaimer: This article is for informational purposes only and not investment advice.