MC EXCLUSIVE TPG said to be in talks with IIFL Capital for stake acquisition

TPG is current in the process of conducting a due diligence on IIFL Capital.

• TPG may acquire at least 20 percent stake in IIFL Capital, including buying out stake from Fairfax
• TPG likely to infuse fresh capital into IIFL Capital as part of the deal
• This marks TPG's first major investment in India's wealth management sector

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US private equity major, TPG, is expected to enter India’s growing capital market and wealth management business by acquiring at least a 20 percent stake in IIFL Capital. “Various modalities of a possible deal are being worked out,” said a person aware of the transaction.

TPG is currently in the process of conducting due diligence on IIFL Capital.

Emails sent to IIFL Capital and TPG seeking comments on the transaction remained unanswered till the article was published.

Deal contours

It is gathered that TPG could acquire Canadian private equity major Fairfax’s stake either fully or partly. Fairfax has a combined holding of 27 percent stake in IIFL Capital, held through FIH Mauritius Investments. In addition to taking over some or all of Fairfax's stake from Fairfax, TPG is expected to infuse fresh capital into IIFL Capital as well. The deal could result in TPG acquiring a minimum stake of at least 20 percent in IIFL Capital.

Sources indicate that the final transaction contours, particularly on valuations, are under consideration. The deal is expected to conclude at Rs 370 – 400 a share. “Negotiations are going on,” said a source who did not want to be identified. IIFL Capital’s stock price touched a 52-week high of Rs 403 a share and has appreciated by 11 percent since the start of 2026. Its one-month return is nearly 72 percent.

Why the deal is noteworthy

If talks go through, it would be the first major transaction at the group level after a business reorganisation in 2019, which split the IIFL group into three separate listed entities – IIFL Finance, IIFL Capital (formerly IIFL Securities) and IIFL Wealth (now 360 One Wealth Asset Management). IIFL Capital forayed into the wealth management business in November 2024. On a net worth of Rs 2,810 crore as of September 30, 2025 and Rs 2.48 lakh crore of assets under management and customer (AUMC). This includes Rs 44,400 crore of wealth assets under management. The company posted a net profit of Rs 85 crore in Q2 FY26.

The deal would be noteworthy for TPG as well, considering that it would be its first major investment in India’s wealth management landscape and the second big buyout in the financial services sector. TPG acquired a nearly 100 percent stake in Poonawalla’s housing finance arm in 2023.

Apart from wealth management, IIFL Capital is also among the leading players in institutional equities and investment banking.