IndusInd's Bold Move: Acquires Reliance Capital Amidst Restructuring

IndusInd International Holdings, led by Ashok Hinduja, finalized its acquisition of Reliance Capital. The company emerged successful with a Rs 9,650 crore bid, followed by a Rs 200 crore solvency boost. Plans include divesting non-core entities and increasing the brand's valuation to USD 50 billion by 2030.

In a significant development, IndusInd International Holdings Ltd (IIHL), chaired by Ashok Hinduja, has announced the acquisition of the debt-laden Reliance Capital. The process, which took three years to conclude, has seen IIHL successfully transfer the bid amount to the escrow account, marking the takeover of management.

Mauritius-based IIHL emerged as the triumphant bidder with a price of Rs 9,650 crore, complemented by an additional Rs 200 crore to enhance the solvency of Reliance Capital, exceeding the initial offer. The new management foresees the need for capital infusion to meet value creation requirements.

Focusing on core strengths, the new management aims to offload many subsidiaries while retaining key businesses like broking and asset reconstruction. The endeavor anticipates a valuation of USD 50 billion by 2030. The acquisition aligns with compliance directives from Indian regulatory authorities and the National Company Law Tribunal.

(With inputs from agencies.)