Economy, Banking and Finance · 22 December 2025

Shriram Finance board approves ₹39,617 Cr preferential issue to MUFG Bank for 20% stake

Exam-focused facts from the 22 December 2025 current affairs briefing.

Key facts

  • Shriram Finance will issue 47.11 crore equity shares at ₹840.93 apiece to Japan’s MUFG Bank.
  • MUFG Bank will hold a 20% minority stake in Shriram Finance on a fully diluted basis.
  • The deal requires approvals from shareholders and regulators including the Reserve Bank of India and the Competition Commission of India.
  • An extraordinary general meeting is scheduled on January 14, 2026, to seek shareholder approval for the preferential issue.
  • MUFG will be classified as a public shareholder upon completion of the transaction.
  • MUFG will pay a one-time non-compete and non-solicitation fee of $200 million to Shriram Ownership Trust.
  • Shriram Finance shares rose 2.62% to ₹892.70 apiece on the BSE after the announcement.