Tata Capital Acquires Yogakshemam Loans Limited to Gain Entry into Gold Loan Business

Tata Capital Acquires Yogakshemam Loans Limited to Gain Entry into Gold Loan Business​

Tata Capital Limited (TCL) has announced the approval of an acquisition deal that brings it into the specialized secured lending sector. The company is acquiring a majority stake in Yogakshemam Loans Limited (Yogloans), an RBI-registered Non-Banking Financial Company (NBFC) primarily focused on gold loans. This strategic move aligns with TCL's mandate to expand and diversify its retail lending portfolio across India.

The acquisition involves the purchase of equity shares from several designated sellers, including Mr. Unnikrishnan Idicharm Veetil, Mrs. Sathyalakshmy M, Mr. Abhijith Unnikrishnan, Mr. Ramachandran Ottapathu, Mrs. Jalajkumari Ramachandran, Ms. Vidya Sanooj, and Mr. Sathianarayanan M. Additionally, TCL will subscribe to new equity shares of Yogloans as part of the transaction.

Upon the successful completion of the Securities Subscription and Purchase Agreement (SSPA), which was approved by the TCL Board of Directors on July 13, 2026, Yogloans will become a subsidiary of Tata Capital Limited. This acquisition provides TCL with an immediate operating platform in the gold loan segment, leveraging the established brand and operational network of Yogloans.

Deal Structure and Financial Details​

The transaction is structured as an all-cash deal and is subject to customary closing conditions and requisite regulatory approvals, including those from the Reserve Bank of India (RBI).

Key details regarding the acquisition are summarized below:

Target Company Profile​

Yogloans is an established NBFC with significant operations and a proven track record in the gold loan market.

As of March 31, 2026, Yogloans had Assets Under Management (AUM) totaling approximately ₹708 crore. The company operates through a branch network across four states: Kerala, Karnataka, Tamil Nadu, and Andhra Pradesh. It services approximately 32,000 gold loan customers.

Yogloans is categorized as an 'Base Layer' entity and primarily focuses on the gold loan business. The target’s financial performance highlights its operational scale in the region:

Strategic Significance​

The acquisition allows Tata Capital to enter the gold loan segment—a secured lending product with significant growth potential—by acquiring an established platform. This move is central to TCL's strategy of building a diversified retail lending franchise.

Mr. Rajiv Sabharwal, Managing Director & CEO of TCL, stated that the transaction adds a secured lending product with growth potential to their portfolio. He noted that combining Yogloans’ market expertise and operational foundation with Tata Capital’s brand strength, capital resources, and technology capabilities will accelerate growth for both entities.

Similarly, Mr. Unnikrishnan Idicharm Veetil, Promoter & Managing Director of Yogloans, welcomed the partnership, stating that the combination of TCL's financial strength and technological capabilities will help propel the business forward, building upon the foundation created over more than a decade in the gold loan sector.

TATACAP Stock Price Movement​

As of 9:19 AM, shares of Tata Capital Limited are slipping by 1.36% in live trading, currently priced at ₹355.70. The stock has seen a traded volume of 25,886 shares during the ongoing market session.