On 23 May 2025, Capital India Finance Limited informed the stock exchanges that the Reserve Bank of India has granted approval for the proposed sale of its entire stake in Capital India Home Loans Limited to Weaver Services Private Limited. The RBI communicated this approval through an official letter dated 23 May 2025 and sent via email the same day at 11:46 AM.

This decision from the central bank enables Capital India to proceed with the divestment of Capital India Home Loans Limited, which is categorised as a material subsidiary of the company. The process was initiated through board approval and earlier intimations dated 16 October 2024 and 20 May 2025 in line with Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations 2015.

The approval specifically pertains to the change in management at Capital India Home Loans Limited, a necessary condition for completing the sale transaction. Weaver Services Private Limited, the acquiring entity, will assume full control after the share transfer is executed in compliance with all legal and regulatory conditions.

Key highlights of this transaction include:

• Full divestment by Capital India Finance Limited in its material subsidiary Capital India Home Loans Limited

• Approval from Reserve Bank of India for the change in management of Capital India Home Loans Limited

• Acquisition by Weaver Services Private Limited, which is now set to take over operational control

• Alignment with SEBI disclosure rules and RBI guidelines related to change of control in financial companies

Capital India has stated that it will continue to keep all stakeholders informed of any further material developments related to this divestment. The transaction is part of the company’s broader strategic restructuring to focus on core financial services and to optimise capital deployment.

The sale will impact the company’s consolidated financial reporting going forward. It may also influence investor perception in the near term depending on the company’s utilisation of the proceeds and future strategy post divestment.

The buyer, Weaver Services Private Limited, is seeking to grow its footprint in financial services and sees this acquisition as a strategic entry into the housing finance sector. The completion of the share transfer and management change will be closely monitored by the market and regulators.

The formal clearance from the Reserve Bank of India is a crucial step without which the transaction could not have proceeded. The letter of approval, issued under reference DoR HGG GOV No S1431 18-02-005 2025-26, confirms that all necessary conditions for change in management have been met by Capital India Home Loans Limited.

Sulabh Kaushal, Chief Compliance Officer and Company Secretary of Capital India Finance Limited, signed off the communication confirming the RBI nod and reiterated the company’s commitment to regulatory compliance and transparency.

Capital India Finance Limited is listed on both the Bombay Stock Exchange under scrip code 530879 and the National Stock Exchange under symbol CIFL. The company expects the transaction to conclude shortly after completion of necessary formalities, including share transfer documentation and post-transaction disclosures.

In conclusion, the Reserve Bank of India’s approval for management change at Capital India Home Loans Limited allows Capital India Finance Limited to successfully divest its entire stake in the material subsidiary to Weaver Services Private Limited. This marks a strategic milestone for both parties involved and reflects a continued trend of portfolio optimisation and focus within the Indian financial sector.

The Upcoming IPOs in this week and coming weeks are Scoda Tubes,Neptune Petrochemicals, Aegis Vopak Terminals, Schloss Bangalore, Astonea Labs, Nikita Papers, Prostarm Info Systems, Victory Electric Vehicles International, Blue Water Logistics, Wagons Learning.

The Current active IPO are Unified Data - Tech Solutions.

The Closed IPOs are Borana Weaves, Dar Credit and Capital, Belrise Industries.