Marwadi Chandarana to buy 75% stake in TruCap Finance for Rs 207 crore

Marwadi Chandarana Intermediaries Brokers has entered into an agreement to acquire 75 per cent stake in non-banking financial company TruCap Finance with an investment of Rs 207 crore.

This investment includes a mix of capital infusion through preferential allotment of equity shares and convertible warrants, and a secondary purchase of 3.68 crore shares from the existing promoter group of TruCap, the NBFC said in a stock exchange filing.

This transaction will trigger an open offer under the Sebi's rules.

Following the investment, MCG will be classified as the new promoter, and the existing promoter group's stake will be reduced to zero. 

In its filing on Monday, the NBFC said, "Marwadi Chandarana Intermediaries Brokers Pvt Ltd, an entity of Marwadi Chandarana Group (MCG) has entered into definitive documents to acquire a majority stake (approximately 75 per cent) in TruCap Finance Ltd, a non-banking financial company".

With a combined net worth of approximately Rs 2,500 crore, MCG Group is a diversified Indian conglomerate with a strong presence in capital markets and financial services for over 30 years.

"This transaction marks a significant milestone in TruCap's journey and will result in a stronger balance sheet with formidable access to capital for sustainable growth in future years", the NBFC said. 

With a network of 117 branches spread largely across Tier 2, Tier 3 and Tier 4 towns, TruCap will continue to focus on enhancing growth, profitability and capital efficiency through gold loans, MSME business loans and electric vehicles financing.

Commenting on the transaction, the founders and promoters of the Marwadi Chandarana Group Ketan Marwadi and Jitubhai Chandarana said, "This acquisition, along with the proposed equity capital infusion, is expected to deliver long-term value to all stakeholders, including customers, employees, lenders, and shareholders. The improved capital strength and MCG Group's backing are likely to positively influence TruCap's credit profile and ratings".

Since commencing lending operations in 2018, TruCap has cumulatively disbursed more than Rs 5,550 crore and served over 4.46 lakh customers. As of March 31, 2025, TruCap's active borrower base stood at 65,640, and the company's lending programs have been supported by more than 40 banks and financial institutions over the past five years.