Piramal Alternatives Trust (PAT), a wholly-owned subsidiary of Piramal Enterprises, will acquire a 10.4 per cent stake in Annapurna Finance for ₹300 crore.
Annapurna Finance is a non-banking financial company, headquartered in Odisha. It is one of the top 10 MFIs in India, with an asset under management of ₹9,233 crore as of September 2023, the company said in a regulatory filing.
PAT has entered into an agreement today "to acquire 10.39 per cent stake in Annapurna Finance Private Limited (AFPL) for a cash consideration of ₹300 crore by way of a purchase of equity shares and subscription to optionally convertible debentures amounting to ₹300 crore," it added.
The transaction is subject to receipt of requisite regulatory approval by PAT and is likely to be completed before March 31, 2024, the filing said.
Annapurna Finance has more than 1,275 branches and a customer base of over 2.5 million spread across 20 States.
The stock of Piramal Enterprises closed ₹12.95 or 1.52 per cent higher at ₹867.35 on NSE on Thursday.