IIFL Finance Limited has notified the stock exchanges of an upcoming Finance Committee meeting scheduled for Friday, May 15, 2026, wherein the committee will consider and approve the terms and conditions for the issuance of Non-Convertible Securities on a private placement basis. The intimation was filed on May 12, 2026, and is in compliance with the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Meeting Details and Purpose

The Finance Committee meeting has been convened specifically to deliberate on and approve the terms and conditions governing the proposed issuance of Non-Convertible Securities through the private placement route. The company referenced its earlier intimation dated May 08, 2025, which outlined the framework for raising funds via Non-Convertible Securities on a private placement basis.

Key details of the scheduled meeting and the related disclosure are summarised below:

Regulatory Compliance

The intimation was submitted to BSE Limited and the National Stock Exchange of India Ltd. in accordance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. A copy of the communication was also marked to India International Exchange (IFSC) Limited, located at GIFT City, Gandhinagar, Gujarat. The disclosure was signed by Samrat Sanyal, Company Secretary & Compliance Officer, on May 12, 2026.

IIFL Finance has officially announced a strategic acquisition through its wholly-owned subsidiary IIFL Fintech Private Limited to acquire a majority stake in Xtracap Fintech India Private Limited, a supply chain financing company. The Board of IIFL Fintech Private Limited approved the transaction on April 30, 2026, with the company filing regulatory intimation under Regulation 30 of SEBI Listing Regulations on May 1, 2026.

Transaction Structure and Financial Details

The acquisition involves a total cash consideration of approximately ₹37.7 crore, structured across two distinct stages:

Upon completion of both stages, IIFL Fintech Private Limited will hold approximately 87.8% equity shareholding in Xtracap Fintech India Private Limited. Currently, IIFL Fintech Private Limited already holds an 18.8% equity stake in the target company.

Target Company Profile

Xtracap Fintech India Private Limited operates in the supply chain financing sector, providing anchor-led, invoice-linked credit solutions to distributors and retailers across multiple sectors. The company reported a turnover of ₹7.03 crore for the financial year ended March 31, 2025, and is currently in a scale-up phase.

Strategic Rationale and Business Impact

The acquisition enables IIFL Fintech Private Limited to enter and scale its presence in the supply chain financing segment, which represents a structurally underserved trade credit market in India. The transaction aligns with the core financial services business of the IIFL Group and is expected to deliver multiple strategic benefits including strengthening MSME lending capabilities, enhancing portfolio diversification, and improving return metrics over the medium term.

Regulatory and Compliance Framework

The proposed acquisition falls within the purview of Related Party Transaction due to the existing 18.8% shareholding. However, the transaction does not involve any interest of the promoter, promoter group, or group companies beyond the existing shareholding structure. The acquisition is being undertaken on an arm's length basis as confirmed in the regulatory filing.

No governmental or regulatory approvals are required for this acquisition. The transaction is expected to be completed within 45 days, subject to execution of definitive agreements and completion of customary conditions precedent.