What is the total value of MUFG Bank's investment in Shriram Finance?

MUFG Bank is investing a total of $4.4 billion in Shriram Finance.

Which advisory firms have recommended voting for the Shriram Finance resolutions?

Institutional Shareholder Services (ISS) and InGovern have recommended voting for the resolutions.

What is the non-compete fee in the Shriram Finance and MUFG deal?

MUFG will pay a $200 million non-compete fee to the Shriram Ownership Trust.

Home / Business and Economy / Shriram Finance Secures Historic $4.4 Billion FDI from MUFG Bank

Shriram Finance Secures Historic $4.4 Billion FDI from MUFG Bank

7 Jan

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Summary

MUFG Bank invests $4.4 billion for a 20% stake in Shriram Finance.
Advisory firms ISS and InGovern recommend voting for the resolutions.
A $200 million non-compete fee is paid by MUFG to Shriram Ownership Trust.

Shriram Finance Secures Historic $4.4 Billion FDI from MUFG Bank

Shriram Finance is set to receive a significant boost with Japan's MUFG Bank investing $4.4 billion for a 20% stake. This represents the largest foreign direct investment in India's financial services history and is expected to improve Shriram Finance's funding access.

Voting advisory firms Institutional Shareholder Services (ISS) and InGovern have issued positive reports, recommending shareholders vote in favor of the resolutions. These resolutions include the preferential allotment of shares to MUFG and the granting of special rights. Additionally, MUFG will pay a $200 million non-compete fee to the promoter entity, Shriram Ownership Trust, ensuring promoter affiliates refrain from competing in key financial sectors.