Shares of Mahindra & Mahindra Financial Services
are trading down by 2% after the company made an announcement in late morning trade.
The company said that it has today entered into a "Share Subscription, Share Purchase and Shareholders' Agreement" with Ideal Finance Limited (Sri Lanka) ["Ideal Finance"] and its existing Shareholders and approved the investment of an amount not exceeding LKR 200.30cr in the aggregate, by way of subscribing/acquiring up to 58.20% of the Equity Share Capital of Ideal Finance, in one or more tranches. Upon acquisition, of the above stake, Ideal Finance will become a subsidiary of the Company."
Ideal Finance is a Registered Finance Company coming under the aegis of the Central Bank of Sri Lanka. Through a wide and expansive financial services and product portfolio encompassing micro and SME financing, margin trading, investment savings, securitized notes, leasing and hire purchase, Ideal Finance aims to create the apt milieu in sustainable financial development.
Mahindra & Mahindra Financial Services Ltd is currently trading at Rs310.75 down by Rs7.05 or 2.22% from its previous closing of Rs317.80 on the BSE.
The scrip opened at Rs318.30 and has touched a high and low of Rs320.20 and Rs308.40 respectively. So far 6,24,145 (NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs19,632.57cr.