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Japanese bank buys 20% stake in Shriram Finance for ₹39,618cr
08 Apr 2026

Japan's investment giant MUFG Bank has acquired a 20% stake in Shriram Finance Ltd (SFL) for ₹39,618 crore.

The deal is the biggest cross-border investment in India's financial services sector.

This strategic partnership will leverage MUFG's global expertise to accelerate SFL's growth as well as improve financial inclusion in India.

Investment has CCI approval
Investment specifics

MUFG Bank has subscribed to 471,121,055 equity shares at an issue price of ₹840.93 per share. The total investment amounts to approximately ₹39,618 crore. The transaction has been completed after obtaining all required regulatory and statutory approvals, including from the Competition Commission of India (CCI).

Deal strengthens MUFG's presence in India
Strategic partnership

After the allotment, MUFG Bank will hold a 20% equity stake in SFL on a fully diluted basis.

The agreement further strengthens MUFG's presence in India and enables SFL to leverage its global expertise to accelerate its long-term growth strategy.

This marks a major milestone for both companies, reinforcing their commitment to sustainable growth and financial inclusion in India.

Partnership will enhance access to diversified, cost-effective funding
Benefits

SFL Executive's Vice Chairman Umesh Revankar said this partnership will open new areas for innovation, enhance access to diversified and cost-effective funding, and also support adoption of best practices in risk management and governance.

He added that the investment significantly strengthens their capital base and positions them to accelerate growth across key business segments.