UGRO Capital to acquire Profectus Capital for ₹1,400 cr
UGRO Capital Limited, the DataTech NBFC focused on MSME lending, has acquired Profectus Capital Private Limited, for ₹1400 crore, company said on Tuesday.
This all-cash deal, with the consideration payable in a single tranche at closing, will make Profectus a wholly owned subsidiary.
Ugro signed a share-purchase agreement with existing investor - British private equity firm Actis, it said.
This acquisition would add approximately ₹150 crore of annualized profit to UGRO making it a capital adequacy accretive transaction, it said.
Profectus has demonstrated stable portfolio expansion, building its assets under management to ₹3,468 crore as of March 2025, with presence across seven states through a 28-branch network and over 800-member team, all while maintaining a gross NPA of 1.6% and Net NPA of 1.1%, it added.
Both entities will maintain current operations and strategy during integration.Shachindra Nath, Founder and Managing Director of UGRO Capital, said, 'This strategically priced acquisition deploys our equity raise to achieve instant scale and ₹115 Crores cost savings and annualized incremental profitability of ₹ 150 crore thus boosting ROA by 0.6–0.7%."K.V. Srinivasan, Executive Director & CEO, Profectus Capital, added, 'The coming together of the two organisations would be beneficial owing to the synergies and complementarity of the businesses, which should result in greater operational efficiency and profitability for the business."
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