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Financial Deal in 2025: This year many big deals have been done in the financial sector of India. There are many foreign companies, which are buying stakes in the financial companies and banks here.
New Delhi. News came that a big Japanese company, Mitsubishi UFJ Financial Group, has placed a bet on buying a major stake in India’s big NBFC Shriram Finance. At a glance, this news looks normal, which seems to be about a partnership and sale of stake between two companies. But, if we look at more such deals in the whole year i.e. 2025, the reality will appear different.
Many deals have taken place between January and 2025, especially in the financial sector, where many foreign companies have made large investments in Indian banks and NBFCs. After all, what is the motive behind this? Why have foreign companies suddenly become so interested in the Indian financial sector? Before highlighting this objective, let us know which big companies have invested in India’s financial sector this year.
Japan and UAE’s biggest investment
The biggest financial deal of this year came in December, when Japan’s Mitsubishi UFJ Financial Group (MUFG) signed a deal to buy 20 percent stake in Indian financial services company Shriram Finance Limited for Rs 39,618 crore (about $ 4.4 billion). UAE did the second biggest deal. Last October, UAE’s second largest bank Emirates NBD Bank decided to acquire a majority stake of 60 per cent in India’s RBL Bank for Rs 26,853 crore.
Japan again made a big bet
Japanese company Sumitomo Mitsui Banking Corporation (SMBC) had bought 20 percent stake in Yes Bank in May before betting on Shriram Finance. Then this bank had decided to invest Rs 13,483 crore. The deal was completed in September and the stake was transferred to the Japanese company. Similarly, American investment company Blackstone has bought stake in Federal Bank of India. Last October, Asia Topco Private Limited, a unit of Blackstone Group, bought the bank’s preference warrant stocks by investing Rs 6,196 crore.
Abu Dhabi has been a big investor
Abu Dhabi-based investor Avenir Investment RSC in October agreed to buy 43.46 percent stake in housing finance company Samman Capital for about one billion dollars (about Rs 9,000 crore). Apart from this, IDFC First Bank raised a total investment of Rs 7,500 crore through preferential share allotment to subsidiaries of Warburg Pincus LLC and Abu Dhabi Investment Authority (ADIA). Both the units together have acquired 15 percent stake in this private sector bank. Earlier, Kotak Mahindra Bank sold 70 percent stake of its subsidiary company Kotak Mahindra Insurance to a Zurich company. This deal was completed for Rs 5,560 crore.
