M&A

M&A

InCred Finance to acquire NBFC TruCap’s gold Loan biz for Rs.330-Cr

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InCred Finance is acquiring Mumbai-headquartered non-banking financial company (NBFC) TruCap Finance ’s gold loan division on a slump sale basis. The acquisition will also include the transfer of the ‘Dhanvarsha’ trademarks and associated logos. The total value of the deal will be about INR 330 crore. The sale will be completed by April 30, 2025.The deal will include TruCap’s network of 115 branches, a customer base exceeding 40,000, a team of over 550 employees, and assets under management (AUM) of over INR 650 crore.TruCap provides loans to MSMEs (micro, small and medium businesses), electric vehicle financing, besides gold loans. With the sale, TruCap is trying to reduce the debt as well as boost its net worth.In FY24, the revenue of TruCap’s gold loan business stood at INR 66.4 crore. InCred’s operating revenue stood at INR 1,270 crore in FY24 as against INR 864.6 crore in FY23. It posted a net profit of INR 316.3 crore as against INR 120.9 crore in FY23.InCred recently acquired Dubai-based financial and investment advisory firm Arrow Capital (DIFC) to expand its operations in the Middle East and Africa regions.