US investment firm Blackstone will invest Rs. 5,000 crore in IIFL Finance for a 15.57% stake on November 10, 2026. The investment forms part of a Rs. 6,414 crore capital raise announced by the Indian non-banking financial company (NBFC). The deal will strengthen IIFL Finance's financial position and support its expansion across secured lending businesses.
Blackstone will invest in its Singapore-based unit, Ingot SG Pte Ltd. The company will receive compulsorily convertible preference shares, which will convert into equity shares at Rs. 602 each within 18 months. IIFL Finance will also receive investments from its promoters and Anchorage Capital as part of the same fundraising plan.
IIFL Finance promoters Nirmal Jain and Venkataraman Rajamani will contribute Rs. 1,264 crore through warrants. Meanwhile, Anchorage Capital will invest another Rs. 150 crore through a primary equity investment. Together, these investments will take the company's total capital raise to Rs. 6,414 crore.
The fresh funding will help IIFL Finance improve its capital strength and support future lending activities. The company's capital adequacy ratio could rise from around 17% to nearly 30%. This stronger position could also help reduce borrowing costs and improve its credit ratings.
Gold loans remain a major part of the company's lending business. They accounted for 53% of IIFL Finance's Rs. 1.24 trillion assets under management as of September 30, 2026. The additional capital will support growth in gold finance and other secured lending businesses.
IIFL Finance also expects to use Blackstone's global experience in technology, data and artificial intelligence. The partnership could help improve operations, strengthen bank partnerships and support business expansion.
Commenting on the investment, IIFL Finance founder and managing director Nirmal Jain said, “The investment strengthens our balance sheet and gives us the headroom to scale our franchises, invest further in technology, and deepen our co-lending partnerships with banks, while staying disciplined on risk and capital.”
The deal also gives Blackstone a larger presence in India's growing NBFC sector. Its earlier investments include Federal Bank, Aadhar Housing Finance and ASK Investment Managers.
The latest investment highlights growing interest from global investors in India's lending market. With stronger capital and Blackstone's support, IIFL Finance aims to expand its retail lending business.
IIFL Finance operates 5,091 branches across India and offers gold, business, home and microfinance loans. The fundraising will help the lender expand these services and reach more customers.
The transaction also reflects Blackstone's continued interest in India's financial services market. Its investment gives IIFL Finance additional financial support as competition grows across the country's NBFC sector.
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