CCI Approves Bain Capital ₹4,385 Cr Stake in Manappuram

The Competition Commission of India (CCI) has cleared Bain Capital’s proposed acquisition of a significant stake in Manappuram Finance and its subsidiary Manappuram Asset Finance. Bain Capital will invest, via special purpose vehicles (SPVs), ₹4,385 crores to acquire up to an 18% stake in Manappuram Finance Limited (MFL) through a joint allotment of equity shares and warrants at a price of ₹236 per share (approximately 30% over the 6-month average price).

Bain Capital will make a mandatory open offer under SEBI’s SAST rules as part of the overall deal. Depending on the public shareholding response, Bain Capital’s stake may increase to 41.70%. Promoters will hold a 28.90% stake after the transactions are completed.

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The investment also allows for the consolidation of Manappuram Asset Finance under MFL, thereby improving the company’s stance in acquiring businesses in gold loans, vehicle (auto) loans and MSME loans. The CCI’s approval also indicates that the transaction should proceed as it fits into the fair competition norms in India, and the deal shows the growing interest of GPE investors in participating in India’s fast-growing non-banking finance company (NBFC) sector.