CCI Approves Bain Capital鈥檚 Investment in Manappuram Group
26 Jun 2025 CW Team
The Competition Commission of India (CCI) has approved the proposed combination involving Bain Capital鈥檚 acquisition of equity in Manappuram Finance Limited (MFL) and Manappuram Asset Finance Limited (MAFL). The deal will be executed through two investment entities鈥擝C Asia Investments XXV Ltd and BC Asia Investments XIV Ltd鈥攚hich are indirectly owned and controlled by Bain Capital Investors, LLC.
Bain Capital is a global private equity firm with holdings across multiple sectors, including financial services, IT, healthcare, retail, and manufacturing. The transaction involves a series of strategic steps designed to expand Bain Capital鈥檚 footprint in India鈥檚 fast-growing non-banking financial services sector.
Under the approved structure:
- Acquirer 1 will subscribe to 92.9 million fully paid-up equity shares of MFL via private placement and preferential allotment.
- Acquirer 2 will subscribe to 92.9 million warrants, each convertible into one equity share of MFL over a period of 4 to 18 months.
- Bain Capital has launched an open offer to acquire up to 244.2 million shares, or 26 per cent of MFL鈥檚 expanded voting share capital, in line with SEBI鈥檚 takeover regulations.
- Additionally, the deal includes the acquisition of MAFL by MFL, consolidating Manappuram Group鈥檚 lending operations.
Manappuram Finance Ltd, based in Kerala, is a diversified NBFC offering gold loans, MSME financing, and vehicle loans, while MAFL focuses largely on gold loans and secured lending such as loans against property and microfinance products.
The transaction will strengthen Bain Capital鈥檚 position in India鈥檚 lending ecosystem while supporting Manappuram鈥檚 expansion and capital base. The detailed CCI order is expected to follow shortly.