US investment firm Capital Group has acquired a 1.54% stake in IIFL Finance for ₹374 crore, marking a significant vote of confidence in the Indian non-banking financial company.
The shares were purchased from an affiliate of Fairfax India through open-market transactions, according to block deal data filed with the National Stock Exchange.
IIFL Finance shares rose more than 2% following the disclosure, reflecting positive market sentiment toward the institutional backing.
IIFL Finance shares rose more than 2% following the disclosure, reflecting positive market sentiment toward the institutional backing.
The transaction underscores growing interest from global asset managers in India's financial sector, particularly among lenders with strong retail and SME portfolios.
Capital Group, one of the world's largest independent investment managers, has been gradually increasing its footprint in emerging markets.
The acquisition of a stake in IIFL Finance aligns with its strategy to target high-quality financial assets in growing economies.