The acquisition, once completed, will make Svatantra the second-largest microfinance company in India with a reach of more than 3.6 million active customers through 1,517 branches across 20 states and a combined AUM of Rs 12,409 crore as on March 31, 2023, the company said.
"The proposed acquisition will propel Svatantra to a significant leadership position. The combined entity will command a substantial reach, enabling the delivery of a diverse array of financial services to our clients across a geographically diverse portfolio," said Ananya Birla, Founder and Chairperson of Svatantra.
"This transaction is in line with our strategic plan to focus on our digital-first businesses, as we continue our digital-first financial services through the Navi Group," said Bansal.
JM Financial Limited acted as the financial advisor to Navi for this transaction.
Chaitanya operates in 12 states – Karnataka, Maharashtra, Bihar, Jharkhand, Uttar Pradesh, Chhattisgarh, Madhya Pradesh, Tamil Nadu, Rajasthan, Gujarat, Odisha and Haryana.
Svatantra Microfinance and Chaitanya India could not be reached for comment. Chaitanya received its non-bank finance company license in 2009.
It has assets under management of Rs. 3000 crore and 1 million customers. Founded by Kumar Mangalam Birla’s daughter, Ananya Birla, Svantantra Microfinance has 263 branches and over 4 lakh borrowers. It is present in 10 states and employs over 2000 people.
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