 "Bajaj Finance")
Bajaj Finance said on Tuesday it had acquired a 26 per cent stake in Pennant Technologies, a financial technology firm, for Rs 267.50 crore.
The acquisition will be on a fully diluted basis with Bajaj Finance buying 571,268 compulsorily convertible preference shares (Series A CCPS) at a face value of Rs 100 each and 422,738 equity shares from promoters and existing shareholders of Pennant. Bajaj Finance said the investment will strengthen its technology infrastructure.
Pennant Technologies, which was incorporated in 2005, provides business-driven technology services and software products for the banking and financial services industry.
After the acquisition is completed by December 30, Pennant will become a related party of Bajaj Finance.
Bajaj Finance recently raised Rs 10,000 crore through qualified institutions placement (QIP) and issuance of preferential shares for the first time in four years. Analysts have said the action is meant to tackle competition emerging from Jio Financial Services' entry in lending.
Further, the company had announced its provisional quarterly business updates with 26 per cent growth in new loans booked in the second quarter of FY24 at 8.53 million as compared to 6.76 million in Q2FY23. The deposits book of the company stood at nearly Rs 54,800 crore as of September 30, 2023 recording 39 per cent growth from Rs 39,422 crore in the year ago period.
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The Assets under Management (AUM) of the firm rose by 33 per cent to approximately Rs 290200 crore as against Rs 218366 crore in the same quarter of FY23.
Bajaj Finance will on Tuesday declare its earnings for the April-September quarter of Financial Year 2023-24. At noon, Bajaj Finance was trading at 0.36 per cent higher at Rs 8065.20 on the National Stock Exchange.
