Mumbai: Tata Capital Ltd announced on Monday, 13 July 2026, that its Board of Directors has approved the acquisition of approximately 88.6 percent of the issued and paid-up share capital of Yogakshemam Loans Ltd.
Deal Structure and Value
The acquisition involves Tata Capital purchasing equity shares from existing sellers and subscribing to new equity shares of Yogakshemam Loans. The total consideration for the new shares will be approximately Rs 93 crore in cash.
Valuation Cap
The overall pre-money equity valuation of Yogakshemam Loans will not exceed Rs 318 crore as part of the transaction terms.
Strategic Rationale
This acquisition aligns with Tata Capital's strategy to expand and diversify its retail lending portfolio across India. It provides access to an established gold loan platform, including an existing branch network, customer base, and management team.
Target Company Profile
Yogakshemam Loans Ltd is a non-banking financial company (NBFC) primarily engaged in the gold loan business. The company reported a turnover of Rs 14,038.53 lakh and a profit after tax of Rs 1,421.20 lakh for the financial year 2025-26.
Assets Under Management
As of 31 March 2026, Yogakshemam Loans had assets under management (AUM) of approximately Rs 708 crore. The company operates through a branch network in Kerala, Karnataka, Tamil Nadu, and Andhra Pradesh.
Completion Timeline
The acquisition is expected to be completed within eight months from the execution of the Securities Subscription and Purchase Agreement. This is subject to the satisfaction of customary conditions, including receiving prior approval from the Reserve Bank of India.
Disclaimer: This story is based on company exchange filings and is for informational purposes only. Investors should evaluate risks before making decisions.
