UGRO Capital announces Rs 400 Crore rights issues at Rs 162 per share

Mumbai, May 31, 2025: UGRO Capital, India’s leading DataTech-driven MSME Financing NBFC, today announced that its Securities Allotment & Transfer Committee has approved the final terms of its Rights Issue. This decision follows the Board’s May 20, 2025, announcement of a Rs 915 Crore preferential CCD issuance and a concurrent proposal to offer up to Rs 400 Crore on a rights basis to existing public shareholders.

Issue Size    Up to Rs 400 Crore
Issue Price    Rs 162 per fully paid Equity share (face value Rs 10)
Right Entitlement    50 rights shares for every 189 existing shares held
Record Date    5th June, 2025
Issue Period    13th June, 2025 to 20th June, 2025 (extendable by up to 30 days)
Equity Shares Outstanding (Pre-Issue)    9,31,83,594

Under the approved terms, UGRO Capital will offer new equity shares totalling up to Rs 400 Crore at a price of Rs 162 per share. This pro-rata offering ensures that all existing public shareholders have a fair opportunity to maintain their stake and guard against dilution as the Company continues to expand its balance sheet and deepen its DataTech advantage in serving India’s underserved MSMEs.

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Commitments totalling over Rs 250 Crore—including Rs 150 Crore from IFU (Investment Fund for Developing Countries, Denmark), and Rs 34 Crore from the Promoter, Promoter-group and employees in rights issue, underscore strong institutional and management confidence in UGRO’s strategy. The Rights Issue builds on the Company’s recent performance, which saw Assets Under Management grow to Rs 12,003 Crore and profit before tax more than double to Rs 203 Crore in FY 2024–25, while maintaining a healthy capital adequacy ratio.

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Mr. Shachindra Nath, Founder & Managing Director of UGRO Capital said, “At UGRO Capital, we are consistently adding Rs 3,000 Crore in AUM year-on-year. Given the strong growth momentum and steady portfolio quality we are witnessing, this capital raise would ensure that our growth trajectory remains unhindered. By offering every shareholder the opportunity to subscribe at Rs 162 per share which is in line with the pricing of preferential allotment of CCD we are ensuring that Public Shareholders have the opportunity to participate in the growth journey of the company as well. Our growing AUM and profitability, coupled with a strengthened capital adequacy ratio post this infusion, position UGRO to scale its credit delivery and support the financial needs of small businesses across India.”

InCred Capital is serving as our financial advisor and SNG & Partners as our legal advisor for this Rights Issue as well as our previous equity capital raise.

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