Mumbai-based UGRO Capital, a leading MSME-focused NBFC, has launched a ₹400-crore rights issue, pricing shares at ₹162 each. The move follows the company’s ₹915-crore preferential issue of compulsorily convertible debentures (CCDs), aimed at expanding its loan book and strengthening its digital-led lending platform.
Key Details of the Rights Issue
- Issue Size: ₹400 crore
- Issue Price: ₹162 per share
- Record Date: June 5, 2025
- Subscription Period: June 13–June 20, 2025 (extendable by up to 30 days)
- Rights Entitlement: 50 rights shares for every 189 existing shares held
Strategic Growth & Investor Participation
The pro-rata rights issue ensures that existing public shareholders can maintain their ownership and avoid dilution as UGRO Capital continues to scale its MSME financing operations. The company has already secured commitments exceeding ₹250 crore, including ₹150 crore from Denmark’s IFU (Investment Fund for Developing Countries) and ₹34 crore from the promoter group and employees.
Financial Performance & Market Outlook
UGRO Capital’s assets under management (AUM) grew to ₹12,003 crore in FY25, while profit before tax more than doubled to ₹203 crore. The company maintains a strong capital adequacy ratio, reinforcing its ability to scale credit delivery and support India’s underserved MSMEs.
Future Expansion Plans
With a steady portfolio quality and ₹3,000 crore added to AUM annually, UGRO Capital aims to accelerate its growth trajectory and enhance financial inclusion through data-driven lending solutions.
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