UGRO Capital announces acquisition of Profectus Capital for ₹1,400 crore in an all-cash deal. Regulatory filings and press releases follow.
UGRO Capital to Acquire Profectus Capital in ₹1,400 Cr All-Cash Deal
Mumbai, June 17, 2025 — UGRO Capital Ltd (BSE: 511742), one of India’s leading non-banking financial corporation (NBFC) companies specializing in MSME lending, has been making news with its strategic acquisition of Profectus Capital Private Limited for an all-cash consideration of ₹1,400 crores. The acquisition was made public in a series of filings with the Bombay Stock Exchange (BSE) in terms of Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
This historic purchase is intended to enhance UGRO Capital’s footprint in the MSME lending sector and continue to diversify its loan book. The company released a comprehensive press announcement, signed a share purchase agreement (SPA), and furthermore resigned a previously released postal ballot notice, constituting a string of strategic corporate events on June 17, 2025.
₹1,400 Cr Acquisition: Strengthening MSME Lending Ecosystem
As per the official press statement named “UGRO CAPITAL TO ACQUIRE PROFECTUS CAPITAL IN A RS. 1400 CR ALL-CASH DEAL”, the company plans to acquire Profectus Capital outright in order to expand its business operations, enhance reach, and increase lending capacity to underpenetrated MSME segments.
Profectus Capital, with its structured and secured lending philosophy, has established itself in SME finance. The acquisition fits UGRO’s vision to overcome India’s MSME credit gap through a data-tech model.
Regulatory Filings Detail the Transaction
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In a filing under “Acquisition”, UGRO Capital informed the exchange about the board’s approval of the acquisition proposal. The regulatory filing outlines:
- Full cash acquisition of Profectus Capital
- Share Purchase Agreement executed on June 17, 2025
- Strategic intent to consolidate lending strengths and accelerate business synergy
Another filing under the sub-category “Memorandum of Understanding / Agreements” confirms the execution of the SPA, which finalizes the terms of the transaction and regulatory compliance.
Postal Ballot Notice Withdrawn
In the midst of the acquisition, UGRO Capital also withdrew an earlier released postal ballot notice. The withdrawal was made via a standalone filing, implying a strategic aggregation of board-level choices and alignment of shareholder actions following the acquisition.
This action reflects a change in priorities and a narrowed focus toward completing and integrating the newly announced acquisition agreement.
Industry Impact and Strategic Outlook
The acquisition reflects UGRO Capital’s aggressive growth plan and puts the organization in position to emerge as one of India’s prime NBFCs in the MSME space. The move has been viewed by analysts as a strategic move that consolidates UGRO’s lending apparatus, customer base, and operational presence.
With increasing credit demand from sectors such as manufacturing, trade, healthcare, and education, the transaction combines UGRO’s data-driven strategy and Profectus’s risk-based lending philosophy.
Market Response and Future Prospects
The share of UGRO Capital continued to be in the limelight post the announcements, indicating investor hope for the deal. Industry specialists opine that if the integration is smooth, UGRO might realize considerable improvements in operational efficiency and loan book quality.
The firm will also be able to utilize Profectus Capital’s employees, branch network, and customer relationships to make the transition a smooth one and provide more comprehensive financial solutions to MSMEs.
About UGRO Capital Ltd
UGRO Capital is a BSE-listed NBFC with a mission to cater to India’s MSME economy using a blend of data science and sectoral expertise. Pan-India reach and alliances with fintech and co-lending partners drive the intent to revolutionize small business lending in India.
About Profectus Capital
Profectus Capital Private Limited is a registered NBFC offering financial solutions to small and medium enterprises with a focus on collateral-backed lending and structured credit products.
Key Takeaways
- UGRO Capital acquires Profectus Capital for ₹1,400 crore
- Full cash transaction, SPA executed on June 17, 2025
- Regulatory filings completed; postal ballot notice withdrawn
- Strategic move to expand MSME lending operations
- Market analysts view this as a positive long-term growth catalyst
