Aditya Birla Capital (ABCL) will raise Rs 4,000 crore through a preferential allotment of shares to its promoter group entities and the International Finance Corporation (IFC), strengthening its balance sheet as it gears up for the next phase of growth in lending and digital financial services.
The board of Aditya Birla Capital on Wednesday approved the issuance of shares worth Rs 2,880 crore to promoter Grasim Industries, Rs 200 crore to group entity Suryaja Investment Pte Ltd, Singapore, and Rs 920 crore to International Finance Corporation. The shares will be allotted at Rs 356.02 apiece, subject to shareholder and regulatory approvals.
The fundraise comes as large diversified financial services firms step up capital buffers amid robust credit demand, particularly from small businesses and retail borrowers. The company said the proceeds would be used to augment capital for its lending businesses, fund growth initiatives, and support investments in subsidiaries and joint ventures.
“Financial services have become central to India’s economic transformation, driving capital formation, expanding financial inclusion and supporting the formalisation of the economy at scale,” said Kumar Mangalam Birla, chairman of the Aditya Birla Group. He added that ABCL’s diversified platforms, governance standards and technology-led execution position it well as the sector enters a more sophisticated phase of expansion.
The investment also signals a renewed push by IFC into India’s MSME financing ecosystem. Sarvesh Suri, IFC’s regional vice-president for Asia and the Pacific, said the partnership would help expand responsible financing to entrepreneurs and businesses in job-rich sectors.
Over the past three years, ABCL has scaled up to become one of the group’s key growth engines. Its combined lending portfolio across NBFC and housing finance businesses has crossed Rs 2 trillion, growing at a compound annual rate of 30 per cent between FY23 and FY26. About 57 per cent of the loan book is linked to SME and business lending, underscoring its focus on the underpenetrated small-business credit market.
The group’s insurance and asset management businesses have also expanded sharply, with combined assets under management nearing Rs 5.9 trillion. Consolidated profit after tax rose at a 23 per cent CAGR to Rs 3,797 crore in FY26.
Vishakha Mulye, managing director and CEO of Aditya Birla Capital, said the fresh capital would help deepen customer engagement and accelerate digital-first offerings as competition intensifies across India’s financial services industry. |
