Sammaan Capital Surges as RBI Approves ₹8,850 Cr IHC Deal

RBI Greenlights Major Stake Acquisition in Sammaan Capital

The Reserve Bank of India (RBI) has granted its approval for the proposed acquisition of a controlling stake in Sammaan Capital Ltd by Avenir Investment RSC, a subsidiary of Abu Dhabi's International Holding Company (IHC). The announcement on March 24, 2026, triggered a significant rally in Sammaan Capital's shares, which surged by as much as 12% in the following day's trade. This transaction, valued at approximately ₹8,850 crore, represents one of the largest investments by a Middle Eastern entity into India's non-banking financial company (NBFC) sector.

Details of the Transaction

The deal, structured through a share subscription agreement dated October 2, 2025, involves Avenir Investment infusing nearly ₹8,850 crore into Sammaan Capital via a preferential issue. Upon the completion of this issue, Avenir Investment will hold an approximate 41.23% stake in the company, formerly known as Indiabulls Housing Finance. The agreement also includes provisions for an open offer. Assuming a full uptake in the open offer, Avenir's shareholding is projected to increase to approximately 63.36%, well within the 66.65% controlling stake approved by the central bank.

Regulatory Approvals and Conditions

While the RBI's approval is a critical milestone, the transaction is not yet complete. The deal received clearance from the Competition Commission of India (CCI) in December 2025. The final regulatory hurdle is an approval from the Securities and Exchange Board of India (SEBI). Both Sammaan Capital and Avenir Investment have stated they are actively engaged with SEBI to secure this final clearance expeditiously. The RBI's approval, however, comes with specific conditions that will govern Sammaan Capital's operations post-acquisition.

First, Sammaan Capital, which is a non-deposit-taking NBFC, is prohibited from raising deposits from the public. Second, Avenir Investment must complete the entire share transfer process within one year from the date of the RBI's approval, failing which the approval will be cancelled. Finally, if Avenir's ownership in Sammaan Capital falls below 26% at any point after the transaction, it will require fresh approval from the RBI to increase its stake back to 26% or higher.

Key Transaction Figures

Impact on Market and Corporate Governance

The market responded positively to the news. Sammaan Capital's stock price hit its 10% upper circuit, rising to a high of ₹154.90 on the NSE. Trading volumes surged, with nearly 57 million shares changing hands, a tenfold increase compared to the previous day's activity. The stock closed significantly higher, reflecting strong investor confidence in the deal's prospects and the strategic direction under new ownership.

Beyond the financial investment, the RBI has also approved the appointment of IHC's nominee, Alwyn Dinesh Crasta, as a director on Sammaan Capital's board for a term of up to five years. This move signals the beginning of a shift in management and strategic oversight. The central bank also approved the indirect change of control for Sammaan Finserve Limited, a wholly-owned subsidiary of Sammaan Capital, ensuring a smooth transition across the corporate structure.

Broader Industry Context

This acquisition is part of a growing trend of significant investments from Gulf-based entities into the Indian financial services landscape. The successful navigation of the regulatory process by Sammaan and IHC sets a positive precedent for other pending deals in the sector. The focus now shifts to other proposed transactions awaiting regulatory clearance, which could further reshape the competitive dynamics within India's financial markets.

Conclusion

With the RBI's conditional approval secured, the acquisition of Sammaan Capital by Avenir Investment is on the verge of completion. The final step remains the nod from SEBI. This landmark deal is set to provide Sammaan Capital with substantial capital for growth and marks a significant vote of confidence from a major international investor in the Indian NBFC space. The imposed conditions by the RBI ensure that the company's operations remain aligned with the central bank's regulatory framework for non-deposit-taking financial institutions.