Avendus Capital Advises Adani Capital, Adani Housing Finance and Their Shareholders on Investment and Acquisition by Bain Capital

Bain Capital, a leading global private investment firm, has entered into definitive agreements to acquire 90% of Adani Capital and Adani Housing. The transaction will buy out 100% of the Adani family’s private investments in the company, with Gaurav Gupta fully rolling his stake in the company and continuing to serve as MD and CEO. Bain Capital has also committed USD 120 million in primary capital to facilitate the company’s ongoing growth. Further, Bain Capital is also immediately making available a liquidity line of USD 50 million in the form of Non-Convertible Debentures.

The transaction is intended to position the leading non-bank financial institution as a standalone company to drive expanded lending to underserved MSME, agriculture, and affordable housing segments and is expected to close in Q4 2023, pending necessary regulatory and market approvals.

Avendus Capital was the exclusive financial advisor to Adani Capital, Adani Housing Finance and their shareholders on this transaction.

Deal Value

Undisclosed

Service

Mergers & Acquisitions

Sector

Financial Institutions Group

Date

July 2023

We are delighted to partner with Gaurav and the team on this important transaction. This transaction reiterates the confidence of Private Equity investors in high-quality retail NBFCs in India. It is also a testament to the superlative distribution, underwriting and collections expertise, built by Adani Capital. We are confident this partnership will propel the Company on its next phase of growth.

Anshul Agarwal

Managing Director & Head, Financial Institutions Group Investment Banking, Avendus Capital

About Adani Capital

Entrepreneurialism and growing consumption rates across India are driving a significant increase in the volume of MSMEs, which now constitute an important segment of the Indian economy, contributing approximately 30% of its gross domestic product (GDP), according to the Ministry of Micro, Small & Medium Enterprises. Despite their potential, only 10% of MSMEs in India have access to a formal source of credit to support growth aspirations, particularly more acute in rural areas. Adani Capital was founded in 2017 to democratize access to affordable, convenient lending solutions and support the next generation of MSMEs and entrepreneurs in India. To realize that vision, Adani Capital has built an AUM of nearly USD 500 million, a network spanning more than 170 branches across eight states, and a team of over 2,500 professionals who expound its “customer-first” culture.