Shriram Finance shares rise 3% ahead of board meet on Friday to consider fundraising

Shriram Finance share price

The shares of Shriram Finance jumped more than 3 percent on December 17 as the company's board is set to meet this Friday to consider proposal to raise funds. The reported deal with Japan's Mitsubishi UFJ Financial Group (MUFG) to acquire minority stake in the gold financier is also likely to be on the agenda.

Shriram Finance shares hit a fresh 52-week high of Rs 875.45 apiece in the morning trading hours of Wednesday.

Shriram Finance's board to consider fundraising:

The company on December 16 had announced that its board will meet on December 19 (Friday) on consider fund raising via rights issue, preferential allotment, QIP or any other method.

Additionally, the board may also discuss a possible deal with Japan's Mitsubishi UFJ Financial Group (MUFG), which is reportedly planning to acquire a minority stake in the gold financier.

The Japanese financial major is planning to pick up 20 percent stake in Shriram Finance through fresh capital infusion, in what could emerge as one of the largest non-banking financial services (NBFC) deals of 2025, Moneycontrolreported citing people familiar with the matter.

The proposed transaction will not trigger an open offer, as the stake acquisition will be done entirely through a primary issuance of shares, the sources said. The capital infusion is expected to be in the range of $3.5-4 billion, valuing Shriram Finance close to its current market capitalisation of about $10 billion, in dollar terms.

Shriram Finance shareholding pattern:

Promoters and promoter groups held 25.39 percent stake in the company while the rest of the 74.61 percent stake was held by the public, according to data on the company’s shareholding pattern as on September 30.

Shriram Capital was its largest promoter, owning 17.85 percent stake as at the end of September. Shriram Value Services followed, holding 7.11 percent stake.

Shriram Finance share price history:

Shriram Finance shares have gained around 2 percent in the past five days, and over 5 percent in the past one month. The stock rose around 30 percent in the past six months.

It is up nearly 48 percent in 2025 so far. Its P/E ratio stands at around 17.

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