IIFL Capital Services Limited held a Board meeting on May 7, 2026, where it approved a significant preferential issue of equity shares. The Board has authorized the allotment of 5,71,42,857 equity shares to FIH Mauritius Investments Ltd at a price of INR 350 per share, aggregating to approximately INR 2,000 Crore. This transaction is subject to shareholder and regulatory approvals and will trigger a mandatory open offer to the public shareholders. Following the completion of this deal and the open offer, the investor, an affiliate of Fairfax India, will acquire control and be classified as a promoter of the company.

The Board approved the preferential allotment to raise Fairfax India’s stake to a minimum of 51%, positioning it as the majority shareholder. The capital infusion is designed to strengthen the company’s balance sheet and support its next phase of growth across various financial segments. Additionally, the Board has approved the convening of an Extra-Ordinary General Meeting on June 1, 2026, to seek shareholder approval for this preferential issue and associated amendments to the Articles of Association. The existing promoters, Nirmal Jain and R. Venkataraman, will remain part of the promoter group alongside the new investor.

IIFL Capital Services Limited is a prominent Indian financial services provider offering wealth management, asset management, retail broking, and investment banking. Headquartered in Mumbai, it operates through a network of over 100 branches and thousands of external wealth managers. In recent 2025 updates, the company successfully reached a first close of ₹500 crore for its Credit Opportunities Fund. Additionally, the firm was selected as one of the investment banks for Zydus Lifesciences’ ₹5,000-crore QIP in late 2025 and advised on Eldeco Infrastructure’s ₹1,000-crore IPO.

For the quarter ended March 2026, the company reported a total income of ₹654.79 Crores, representing a 14.2% increase compared to the same period in 2025. However, the net profit for this quarter stood at ₹115.12 Crores, reflecting a 10.1% year-on-year decline. This dip in profitability was attributed to rising finance costs and operational pressures despite the robust growth in top-line revenue. Notable institutional investors in the company include FIH Mauritius Investments Ltd and Bank Muscat India Fund. Billionaire Prem Watsa, through Fairfax India, remains a major strategic investor in the entity.