Shriram Finance Limited has received a substantial acquisition disclosure from GIC Private Limited under Regulation 29 of SEBI's takeover regulations, revealing a reduction in the investment manager's shareholding through open market transactions.

Transaction Overview

GIC Private Limited, acting as investment manager on behalf of Government of Singapore and Monetary Authority of Singapore, executed an open market sale of equity shares on 9 April 2026. The transaction involved the disposal of 266,269 equity shares carrying voting rights, representing a 0.011% reduction in the company's shareholding.

Shareholding Changes

The disclosure reveals the detailed breakdown of shareholding changes for both Government of Singapore and Monetary Authority of Singapore. Prior to the transaction, the combined holding stood at 100,863,617 equity shares, representing 4.287% of the total share capital.

Regulatory Context

The disclosure was made under Regulation 29(2) of Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. GIC Private Limited operates as an investment manager with power to exercise voting rights for all shares it manages on behalf of Government of Singapore and Monetary Authority of Singapore.

The filing indicates that since GIC's last disclosure on 26 March 2024, when it held 26,704,324 equity shares representing 7.11% of the company, multiple non-reportable transactions have occurred. The current disclosure was triggered when the cumulative effect of these transactions crossed the regulatory threshold requiring formal notification.

Company Share Capital

Shriram Finance Limited's equity share capital remained unchanged at 2,352,686,426 equity shares as per the shareholding pattern disclosed on 8 April 2026. The total diluted share capital, accounting for outstanding convertible securities, stands at 2,353,842,110 equity shares.

The disclosure confirms that GIC Private Limited does not belong to the promoter or promoter group of Shriram Finance Limited, and the company's shares are listed on both National Stock Exchange of India Limited and BSE Limited.

Shriram Finance has successfully completed its preferential share allotment to MUFG Bank Ltd., with the Board of Directors formally approving the transaction on April 8, 2026. The company has now received final listing and trading approval from both stock exchanges, marking the completion of this landmark strategic partnership.

SEBI Regulatory Disclosure Filing

MUFG Bank Ltd., along with its subsidiaries Mitsubishi UFJ Trust and Banking Corporation and Mitsubishi UFJ Asset Management Co., Ltd., filed comprehensive regulatory disclosures with BSE Limited and National Stock Exchange of India Limited on April 10, 2026. The disclosure was signed by Hidetoshi Fuwa, Managing Director and Deputy Head of Credit Policy & Planning Division of Mitsubishi UFJ Financial Group, Inc.

Stock Exchange Approval and Trading Commencement

Shriram Finance has received listing and trading approval for the 47,11,21,055 equity shares allotted to MUFG Bank Ltd. from both NSE and BSE. The approvals were granted through letters bearing reference numbers NSE/LIST/54504 and LOD/PREF/SV/87/2026-2027 respectively, both dated April 10, 2026.

Board Meeting Outcome and Share Allotment

The Board of Directors approved the allotment of substantial equity shares to MUFG Bank through this preferential offering. The company's board meeting, which commenced at 10:00 A.M. and concluded at 10:30 A.M., confirmed the allotment details:

Shareholding Structure Impact

The preferential issue has significantly altered the company's shareholding structure and capital base. The MUFG group, through its various entities, now holds a combined stake of 20.11% in Shriram Finance Limited:

Strategic Partnership Framework

The transaction is executed under the Investment Agreement dated December 19, 2025, between Shriram Finance and MUFG Bank Ltd. The allotted equity shares rank pari-passu with existing equity shares of the company. MUFG Bank, incorporated under Japanese laws with its registered office at 1-4-5, Marunouchi, Chiyoda-ku, Tokyo, Japan, brings significant international banking expertise to this partnership.

Executive Leadership Statements

Umesh Revankar, Executive Vice Chairman of Shriram Finance, emphasized the strategic importance of this collaboration: "This marks the successful culmination of a landmark transaction and the beginning of a long-term strategic collaboration with MUFG. We believe this collaboration will open new avenues for innovation, enhance access to diversified and cost-effective funding, and support the adoption of global best practices in risk management and governance."

Junichi Hanzawa, President and Group CEO of MUFG, highlighted the investment's significance: "We are very pleased to commence our strategic collaboration with SFL. SFL is a leading financial institution in India with a strong business foundation and significant growth potential in the MSME and retail segments. This investment represents an important step that underscores MUFG's long-term commitment to the Indian market."