Induslnd International Holdings Ltd., part of the Hinduja Group, is nearing the completion of its $1.1 billion acquisition of Reliance Capital in India. An official announcement is expected soon. The deal, approved by a bankruptcy tribunal last year, follows the Reserve Bank of India’s takeover of Reliance Capital in 2021 due to financial and governance concerns.
Induslnd International Holdings Ltd., a part of India’s Hinduja Group, is close to finalizing the $1.1 billion acquisition of Reliance Capital. An official announcement is expected in the coming days, according to sources familiar with the matter.
Reliance Capital, a financial services firm, was taken over by the Reserve Bank of India (RBI) in November 2021 due to missed payment obligations and governance concerns. The company was subsequently placed under a bankruptcy resolution process, leading to the approval of Induslnd’s bid by a bankruptcy tribunal in February 2024.
Acquisition Details and Market Impact
The $1.1 billion acquisition deal, which amounts to approximately 98.6 billion rupees, is expected to bring stability to the troubled shadow bank. The transaction was initially valued at $1.2 billion but was later revised.
Induslnd International, which operates under Hinduja Group, is a key player in India’s financial sector. The acquisition is anticipated to enhance its presence in the non-banking financial space, strengthening its position in the Indian financial market.
While representatives for Induslnd International and Reliance Capital declined to comment, industry experts believe this acquisition could signal renewed confidence in India’s financial restructuring efforts.
With the official announcement expected soon, the deal marks a significant milestone in India’s banking and finance sector, setting a precedent for future acquisitions and resolutions in the industry.
