UGRO Capital Acquisition of Profectus Capital Receives RBI Approval

UGRO Capital Limited, a leading DataTech NBFC focused on MSME lending, announced that it has received approval from the Reserve Bank of India (RBI) for its proposed acquisition of 100% shareholding of Profectus Capital Private Limited. The transaction is expected to close by October 31, 2025, and upon completion, Profectus Capital will become a subsidiary of UGRO Capital Limited. This acquisition will deliver immediate scale with a 29% growth in AUM, strengthen UGRO’s secured asset mix, and diversify the portfolio through expansion in high-yield Emerging Markets and Embedded Finance. It also unlocks incremental opportunities of over 22,000 crore in school financing. These synergies are expected to generate 3115 crore in cost savings and add approximately 3150 crore of incremental profitability, enhancing ROA by 0.6—0.7% post-merger.