Piramal Finance shareholders approved a special resolution to raise capital of up to ₹1,750.03 crore through the issuance of warrants convertible into equity shares.

The Extraordinary General Meeting (EGM) was held on September 19, 2026, via video conferencing and other audio-visual means in compliance with Ministry of Corporate Affairs and SEBI circulars.

Capital Raise Details

The resolution authorizes a preferential issue on a private placement basis to Nithyam Realty Private Limited, an entity belonging to the company’s promoter group. The funds will be raised by issuing warrants that are convertible into equity shares.

Meeting Proceedings

Mr. Jairam Sridharan, Managing Director and CEO, chaired the meeting as Mr. Anand Piramal, Chairman, was deemed interested in the resolution and did not attend. Independent directors Asheet Mehta, Rajiv Mehrishi, and Suhail Nathani were present.

Remote e-voting commenced on September 16, 2026, at 9:00 am and concluded on September 18, 2026, at 5:00 pm. Scrutinizers from N L Bhatia & Associates oversaw the voting process. The resolution passed with the requisite majority.

Piramal Finance reported a 67% year-on-year increase in consolidated net profit to ₹461 crore for the first quarter of FY27, driven by robust growth in its retail and wholesale lending books. The company scheduled an analyst and institutional investor meeting with JP Morgan India Financials Tour in Mumbai on September 24, 2026, to discuss these results.

Total income rose 37% to ₹1,693 crore, supported by a 43% jump in net interest income (NII) to ₹1,442 crore. Pre-provision operating profit (PPOP) surged 89% to ₹804 crore, reflecting improved operational efficiency as the cost-to-income ratio declined to 52.5% from 65.6% in the same period last year.

What the Numbers Show

The divergence between top-line growth and expense management highlights significant operating leverage. While total income grew by 37%, operating expenses increased by only 10% to ₹889 crore. This disparity allowed PPOP to nearly double, indicating that the company is generating more profit per unit of revenue without a proportional increase in operational spend.

Financial Performance

Net interest margin (NIM) expanded by 47 basis points to 6.5%, remaining stable quarter-on-quarter. The growth business RoAUM stood at 1.9%, up 33 basis points year-on-year.

Asset Quality and AUM Growth

Assets under management (AUM) grew 25% to ₹1,06,940 crore, with retail AUM rising 32% to ₹91,249 crore. Wholesale AUM increased 27% to ₹13,238 crore. Asset quality remained stable with gross NPA at 2.4%, down from 2.8% in Q1FY26. Retail 90+ days past due (DPD) was contained at 0.7%.

The balance sheet showed gross debt rising 20% to ₹82,345 crore, while net worth increased to ₹28,906 crore. The liquidity coverage ratio averaged 553%, well above regulatory requirements.