Northern Arc Capital Limited has informed the Exchange about General Updates- Dilution of stake in M/s Finreach Solutions Private Limited

Strategic Transactions View source PDF Explain this filing

NORTHARC · price

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Price reactionminutes from the announcement price · days from the prior close

+3.8%Reaction day

₹205.25

prior close

₹208.10

announcement price

After-mkt

timing

Nifty Microcap 250market · index membership as recorded later (tracked since Jun 2026)+1.6%+2.2% vs market

Non Banking Financial Company (NBFC) peers, median of 191sector+0.1%+3.7% vs sector

On the reaction day the stock moved 2.2 pts more than Nifty Microcap 250 and 3.7 pts more than its Non Banking Financial Company (NBFC) peers, over the same two closes: a difference in percentage points, not a measure of what the filing did.

Minutes after the announcementfrom the announcement price · no benchmark

Stock

+0.5

10m

+0.6

15m

-0.4

30m

+0.4

Sessions after the filingfrom the prior close

StockMarketvs marketSectorvs sector

Reaction day

+3.8+1.6+2.2+0.1+3.7

Next day

+5.7+3.3+2.5+0.7+5.0

+5.0+4.3+0.7+0.6+4.3

+5.1+5.1-0.0+1.3+3.8

+6.1+6.4-0.3+1.6+4.5

+2.1+5.2-3.2+1.8+0.2

+6.3+5.9+0.3+2.2+4.1

15d

+3.8+8.0-4.2+2.2+1.6

+9.9+9.8+0.1+3.1+6.7

+22.8+11.8+11.0+3.6+19.2

+15.5+7.2+8.2-0.8+16.3

UpDownMarket · Nifty Microcap 250Sector · Non Banking Financial Company (NBFC) peers, median of 191Pending

Minute windows have no benchmark: there is no intraday index history to compare against.

AI summary

Northern Arc Capital has sold and reduced its shareholding in FinReach Solutions from 24.55% to 9.99%, causing FinReach to cease being an associate company. The sale was completed on May 12, 2025, for a total consideration of Rs. 2.50 crore, with the sale agreement signed on April 10, 2025. The buyer is Caspian SME Impact Fund IV, a SEBI-registered Category II Alternative Investment Fund, and is not related to Northern Arc's promoters or group companies. FinReach contributed a loss of Rs. 9.72 lakhs (0.31% of total) in the last financial year with nil net worth, making it a non-material entity in the group's overall financials.

Likely market impact

This is a minor, non-core divestment with negligible financial impact (0.31% loss contribution and nil net worth). Shareholders are unlikely to see a meaningful effect on the stock, and the Rs. 2.50 crore inflow is small relative to the company's size. The disposal simply cleans up the books by removing a loss-making associate stake.