Update on Acquisition- India SME Asset Reconstruction Company Limited
Awaiting price reaction for this filing.
Authum Investment & Infrastructure Limited (AIIL) has completed the acquisition of India SME Asset Reconstruction Company Limited (ISARC). The deal involved 13 crore equity shares via fresh subscription (board-approved on June 17, 2025) and 7.325 crore shares purchased from eight existing shareholders, totalling 20.325 crore shares. This represents approximately 88.37% of ISARC's paid-up share capital on a fully diluted basis, making ISARC a subsidiary of AIIL. The Reserve Bank of India had approved the acquisition on March 26, 2025, and AIIL will nominate two directors to ISARC's board.
ISARC becoming a subsidiary means AIIL will consolidate its financials, potentially adding a new revenue stream from the asset reconstruction business. The sizeable 88.37% stake gives AIIL full operational control, though it will also bear full responsibility for ISARC's performance.