Fairfax India boosts IIFL Capital stake to 38% with ₹2,000 crore investment

Fairfax India Holdings Corporation, acting through its Mauritian affiliate FIH Mauritius Investments Ltd, has acquired an additional 11.22 per cent stake in IIFL Capital Services Limited. The Canadian investment firm acquired 57,142,857 equity shares at ₹350 per share through a preferential allotment approved on November 4, 2026, according to a regulatory filing by IIFL Capital.

Following the transaction, Fairfax India's total shareholding in IIFL Capital has risen to 38.04 per cent from its previous 26.82 per cent stake, solidifying its position as a major investor in the financial services company. The preferential allotment marks a significant deepening of Fairfax India's commitment to the Indian financial sector.

Under Securities and Exchange Board of India regulations governing substantial acquisitions and takeovers, the newly allotted shares will be held in a demat escrow account and will not carry voting rights until the completion of a mandatory open offer. This escrow arrangement is a standard requirement to protect minority shareholders during substantial stake acquisitions.

The investment received approval from the Competition Commission of India in September 2026, clearing the way for Fairfax India to proceed with the stake increase. The transaction underscores continued confidence among foreign institutional investors in India's financial services industry.