Purple Finance Limited approved the sale of a portion of its loan portfolio worth Rs. 5.38 crores on August 12, 2026, through a Direct Assignment transaction. The Finance Committee of the company authorized the move during its meeting held on that date, aiming to generate accretive income while demonstrating its capacity to originate and manage a quality loan book. Under the agreed terms, the participation ratio between the assignees and Purple Finance Limited is set at 90:10, meaning the company retains a 10% interest in the sold assets. Purple Finance Limited will continue to serve as the servicer for all loans assigned under these arrangements, ensuring continuity in customer relationships and collection processes.

The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and submitted to BSE Limited. The transaction is structured in accordance with the Master Direction – Reserve Bank of India (Non-Banking Financial Companies - Transfer and Distribution of Credit Risk) Directions, 2025, as amended from time to time. This regulatory framework governs how NBFCs can transfer credit risk and distribute loans, ensuring compliance with central banking standards.

Transaction Details

The key parameters of the loan portfolio sale are outlined below:

Strategic Implications

Management indicated that these Direct Assignment transactions are expected to be income accretive. By selling a portion of the portfolio while retaining a 10% stake, the company balances liquidity generation with continued exposure to asset performance. The decision reaffirms Purple Finance Limited's ability to originate high-quality loans, which can then be distributed to investors seeking specific risk-return profiles. Retaining the servicing role allows the company to maintain operational control over collections and customer interactions, potentially generating fee income alongside its retained equity interest in the portfolio.

Regulatory Compliance

The company emphasized adherence to the RBI’s Master Direction on Transfer and Distribution of Credit Risk for NBFCs. This direction provides the legal basis for non-banking financial companies to sell loans without altering the underlying contractual relationship between the borrower and the original lender, except for the change in ownership of the receivable. By following this route, Purple Finance Limited ensures that the transfer complies with national financial regulations regarding risk distribution among financial institutions.

Purple Finance has scheduled its Extraordinary General Meeting (EGM) for Monday, August 31, 2026, at 11:00 A.M. (IST). The meeting will be conducted through Video Conferencing (VC) or Other Audio Visual Means (OAVM) in compliance with the Companies Act, 2013, and the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. This action requires shareholders to update their contact details and cast votes before the specified deadlines to ensure their participation in the corporate governance process.

The company issued the notice on August 07, 2026, pursuant to Regulation 30 read with Part A of Schedule III, and Regulations 47 and 51 of the SEBI LODR Regulations, 2015. Newspaper advertisements regarding the meeting were published in Financial Express (English) and Mumbai Lakshdeep (Marathi). The notice was circulated electronically to members with registered email addresses, while those without registered emails were instructed to update their details via Purva Share Registry (India) Private Limited or their Depository Participants.

Shareholders are provided with a facility for remote e-voting through Purva Share Registry (India) Private Limited. The voting window is strictly defined, beginning at 9:00 A.M. (IST) on Thursday, August 27, 2026, and ending at 5:00 P.M. (IST) on Sunday, August 30, 2026. The remote e-voting module will be disabled immediately after the expiry of this period. Members who have not cast their votes remotely will have the option to vote electronically during the EGM.

Eligibility to vote or attend the EGM is determined by the cut-off date of Monday, August 24, 2026. Only individuals whose names appear in the Register of Members as of this date are entitled to avail themselves of the remote e-voting facility or to vote at the EGM. Members attending the meeting via VC/OAVM will be counted towards the quorum under Section 103 of the Companies Act, 2013. Those who have already voted remotely may attend the meeting but cannot vote again.

Members holding shares in physical mode who have not registered their email addresses are requested to do so with Purva. For demat holders, updates must be made with their respective Depository Participants. The company also allows members to update email addresses for the limited purpose of receiving the EGM notice by emailing compliance@purplefinance.in with signed scanned copies of request letters, PAN copies, and folio details. Documents referred to in the notice are available for electronic inspection from the date of circulation until the date of the EGM.