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Japan’s MUFG makes a $4.4 billion bet on Shriram Finance
MUMBAI: Shriram Finance has struck a landmark deal with MUFG Bank, which will invest Rs 39,618 crore, about $4.4 billion, through a preferential issuance of equity shares. The transaction will give the Japanese lender a 20.0 per cent stake in Shriram Finance on a fully diluted basis, subject to shareholder and regulatory approvals.
The announcement follows a day after Shriram Finance publicly quashed market speculation around a potential foreign investment, only to confirm one of the biggest such deals India’s financial services sector has seen.
Approved by the board on December 19, the investment is being billed as the largest foreign direct investment into an Indian financial services company. It reinforces Shriram Finance’s standing as the country’s second-largest retail non-banking financial company by assets under management and marks a rare mega-ticket entry by a global bank into India’s lending space.
For Shriram Finance, the timing is strategic. The capital infusion is expected to significantly strengthen its balance sheet, improve capital adequacy and support long-term growth in a competitive lending market. The company said the partnership would also enhance access to lower-cost funding and potentially bolster its credit ratings, while aligning governance and operational practices with global standards.
The collaboration brings together Shriram Finance’s deep domestic reach and distribution network with MUFG’s global scale, financial strength and expertise. Beyond capital, both sides see scope for cooperation in technology, innovation and customer engagement.
Executive vice chairman of Shriram Finance, Umesh Revankar, called the transaction “a defining moment” in the company’s growth journey. He said the entry of MUFG as a key investor reinforced global confidence in India’s financial services sector and Shriram Finance’s leadership within it.
From MUFG’s side, the deal represents its largest investment in India to date. The group has operated in the country for over 130 years and has invested around $1.7 billion so far, supporting employment for about 5,000 people. Group chief executive officer of Mitsubishi UFJ Financial Group, Hironori Kamezawa, said the partnership reflected aligned values and a shared commitment to supporting India’s economic development and financial inclusion.
The transaction still awaits shareholder approval and regulatory clearances, but its significance is already clear. At a time when global capital has grown cautious, MUFG’s move is a statement of confidence in Indian lenders with scale, discipline and reach.
Shriram Finance spent one day denying the chatter. The next, it delivered one of the biggest deals Indian finance has seen in years.
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Bajaj Consumer Care FY26 profit rises to Rs 193.7 crore
Revenue climbs to Rs 1,092 crore as profit grows 49 per cent YoY
MUMBAI: Hair today, growth tomorrow Bajaj Consumer Care Limited seems to have found its shine again, posting a sharp jump in profitability even as it doubled down on brand spends and expansion. The company reported a net profit of Rs 193.7 crore for FY26, marking a strong 49 per cent rise from Rs 130.1 crore in FY25. Revenue from operations also grew to Rs 1,092.2 crore, up from Rs 942.8 crore a year earlier, signalling steady demand momentum across its portfolio.
For the March quarter, profit stood at Rs 64.1 crore, compared to Rs 31.5 crore in the corresponding period last year, while revenue rose to Rs 308.3 crore from Rs 243.5 crore.
The performance came despite a notable increase in spending. Advertising and sales promotion expenses climbed to Rs 168.3 crore in FY26, up from Rs 137.8 crore in FY25, reflecting continued investment in brand building. Other expenses also rose to Rs 151.3 crore from Rs 134.2 crore, indicating a broader push towards growth.
Operating efficiency, however, held firm. Profit before tax increased to Rs 234.8 crore in FY26 from Rs 157.7 crore a year earlier, supported by disciplined cost management across materials and inventory.
On the balance sheet, the company’s total assets expanded to Rs 959.1 crore as of March 31, 2026, compared to Rs 931.9 crore a year earlier. Other equity rose to Rs 780.3 crore, reinforcing a stronger financial base.
Cash flow from operations saw a significant uptick, reaching Rs 196.9 crore in FY26, nearly three times the Rs 67.9 crore recorded in FY25, highlighting improved working capital management.
However, the year also saw aggressive capital allocation. The company spent Rs 190.2 crore on share buybacks, contributing to a net cash outflow of Rs 196.5 crore from financing activities. Cash and cash equivalents stood at Rs 6.8 crore at the end of the year, down from Rs 25.6 crore.
Even as investments in subsidiaries and assets continued, the numbers suggest a company balancing growth ambitions with shareholder returns keeping one eye on expansion and the other on efficiency.
With margins improving and revenue steadily climbing, Bajaj Consumer Care appears to be combing through the competition with renewed confidence.
