In an exchange filing, Manappuram Finance said, “The media report is denied, factually incorrect and speculative in nature.”
“We have provided regular updates in respect of the proposed investment by BC Asia Investments XIV and BC Asia Investments XXV in Manappuram Finance and acquisition of joint control (along with the existing promoters of the company) in the company and its subsidiaries including Asirvad Micro Finance and Manappuram Home Finance including the receipt of approval from the RBI for change in management in the company,” the company said.
The company said that an application has been filed with the RBI in relation to the proposed transaction—change of control.
“Necessary filings have been made with the RBI and final approval of the RBI for the proposed transaction is pending. We will keep the stock exchanges duly updated in this regard. There is no other pending information to be intimated,” the company said.
On Friday, the shares of the company had plunged nearly 8 per cent after reports said that the RBI had raised objections to Bain Capital’s plans to acquire a controlling stake in Manappuram Finance.
Bain Capital has received approval for the deal, which was announced last March, from India’s market regulator and the competition commission, but the RBI is the final authority for the clearance of any large stake purchases in banks and non-bank lenders.
Under the proposed deal, Bain will acquire 18 per cent of Manappuram Finance for around $490 million, after which it would launch an open offer for an additional 26 per cent. That would make Bain Capital one of two controlling shareholders with the right to influence management decisions.
The investments would be made through two of its funds, BC Asia Investments XXV and BC Asia Investments XIV.
Bain Capital also owns 93 per cent of non-bank lender Tyger Capital, formerly Adani Capital.
 "Manappuram Finance")