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Abu Dhabi’s International Holding Company (IHC) is set to invest ₹8,850 crore (around $1 billion) for a 43.4% stake in Sammaan Capital. However, the stock tumbled 3% in Friday’s trading session.
Sammaan Capital is an upper tier Non-Banking Finance Company (NBFC) that provides home loans, construction finance, and mortgage lending to individuals and developers.
Context: IHC has emerged as a leading holding company in the Middle East and one of the world’s largest investment firms, boasting a market cap of $239.9 billion. In recent years, it has stepped up its India play with marquee bets, including investments in the Adani Group and snack giant Haldiram’s.
Breaking it down: this deal allows the global investor to become the main backer with a 43.4% stake. It’s also IHC’s first big step into India’s financial services sector, and the largest-ever single investment of fresh capital in an NBFC in the country.
What’s in-store for Sammaan: it will help strengthen their affordable housing and mid-market mortgage offerings. Leveraging IHC’s global expertise and technology strengths, the company is set to expand its footprint.
