The Reserve Bank of India (RBI) has granted approval for Abu Dhabi-based International Holding Company PJSC (IHC) to acquire a controlling stake in Sammaan Capital Ltd. (formerly Indiabulls Housing Finance) through its wholly-owned subsidiary Avenir Investment RSC Ltd. As reported by The Economic Times, this approval, announced on March 24, 2026, represents a major milestone in the deal first outlined in a share subscription agreement on October 2, 2025. The RBI clearance follows earlier consent from the Competition Commission of India (CCI), with the company now actively engaged with the Securities and Exchange Board of India (SEBI) to secure the final necessary approval to complete the transaction. The RBI approval comes with standard conditions including that Sammaan Capital cannot raise deposits from the public, the transfer of shares must be completed within one year, and if the stake falls below 26%, RBI permission will be required to increase it above 26%.
Sammaan Capital has received ₹5,652 crore as part of the initial tranche of the stake acquisition, with an additional ₹3,198 crore expected over the next 18 months upon warrant conversion. The preferential allotment includes over 33 crore equity shares and multiple tranches of warrants priced at ₹139 per share. According to The Times of India, IHC's total investment is valued at nearly $1 billion (₹8,850 crore) for the 41.5% stake, marking one of India's largest NBFC-sector deals. Upon the initial allotment, Avenir Investment will hold an approximate 41.23% stake in Sammaan Capital, which triggers a mandatory open offer for an additional 26% of the company's shares from public shareholders. The company's assets under management (AUM) currently stands at ₹65,000 crore and is projected to reach ₹1.3 lakh crore within three years. As reported by The Times of India, the capital will fuel balance-sheet expansion with up to 4x leverage translating into ₹50,000–60,000 crore asset growth.
The funds will be strategically deployed to strengthen the company's balance sheet, expand into affordable housing and mid-market lending, and accelerate the adoption of AI-driven platforms. As reported by The Times of India, Sammaan Capital aims to reach ₹1 lakh crore in AUM by FY27, representing an ambitious growth target. The company will transition from a pure-play mortgage financier to a diversified NBFC by targeting mid to low-income borrowers through its expanding pan India branch network. The diversification will include products beyond mortgage loans to retail products including secured/unsecured MSME, personal loans, business loans, and gold loans. IHC CEO Syed Basar Shueb emphasized that this investment reaffirms a commitment to supporting Sammaan Capital's development, particularly in using AI to innovate lending solutions. The company's capital adequacy ratio is comfortably above 20%, which takes it beyond the regulatory requirement of 18-19% for growth capacity, providing the company with capacity to grow without further dilution for at least the next five years.
The market has responded positively to the regulatory approvals, with Sammaan Capital's shares experiencing a significant rally, surging by as much as 17% in a single week and touching a high of ₹170.20 before settling. The ability of Sammaan Capital to attract a global heavyweight like IHC is viewed as a significant vote of confidence in the company's potential and the broader Indian financial services landscape. According to The Times of India, Sammaan Capital will be consolidated as a core investment under IHC's dedicated subsidiary, Judan Financial, which manages assets of over $230 billion and spans multiple countries. Upon completion of the open offer and related steps, IHC will be classified as the promoter and assume strategic control of the company, including board-level influence. CEO Gagan Banga noted that the infusion of fresh capital allows the company to pivot away from playing like a defensive batsman and move into a mindset of being able to play on the front foot, focusing on personal loans, gold loans, small business loans, and government priorities like financing electric vehicles.
With the capital infusion from IHC, Sammaan Capital is positioned for aggressive organic expansion without immediate inorganic growth plans. As reported by The Times of India, the company will single-mindedly focus on organically expanding its product suite, distribution branch network and systems for the next two to three years. CEO Gagan Banga emphasized that the company is moving from a defensive to offensive strategy, with plans to double its asset base in three years after nearly an eight-year consolidation phase. The company's strategic focus includes personal loans, gold loans, loans for small businessmen, and financing electric vehicles, positioning it to capitalize on government priorities and market opportunities. The management highlighted that this is not a high-street investment banking transaction but rather a meeting of minds, with IHC's deep understanding of India's financial services landscape and appreciation for the company's liability management capabilities making it an ideal strategic partner. For expansion, the company plans to widen city reach from about 200 to 500 and scale branches to 1,500, with the firm targeting a ₹1.3–1.5 lakh crore loan book by 2029, implying about 25% CAGR growth.
CEO Gagan Banga has laid out an unusually confident outlook for the company's next two years, projecting that borrowing costs will fall by as much as 250 basis points, net margins will double, and AUM will scale to between ₹1.3 lakh crore and ₹1.5 lakh crore by FY29. According to The Economic Times, even on a static book, repricing existing stock by around 200 basis points over the next 12 months would be sufficient to double current margins. The company expects to disburse around ₹35,000 crore in FY27, scaling to a run rate of ₹25,000 to ₹30,000 crore annually by FY29. Rating agencies have been briefed and are closely monitoring the situation, with Banga confident that within 6 to 12 months, incremental capital will be flowing in at approximately 250 basis points lower than current borrowing rates. The company is also making significant investments to support this scale, including expanding city coverage to 500 locations, growing the workforce to 10,000 employees by FY27, and making heavy investments in technology infrastructure.
