Brookefield Co-Promoter of Indostar Capital
IndoStar Capital Finance has raised Rs 1,225 crore equity capital from Brookfield which will also invest Rs 225 crore through secondary purchase of shares from IndoStar Capital Mauritius.
With this investment, Brookfield will become a co-promoter with 24.6 per cent stake, along with IndoStar Capital Mauritius having 45.2 per cent holding at present. Post this infusion, IndoStar’s capital adequacy ratio has improved to almost 40 per cent compared with 27 per cent before this equity infusion.
“This investment is a strong endorsement of IndoStar’s business model, management capability and quality of its franchise. This investment not only provides equity funding but also access to new debt financing via Brookfield’s relationships with financial institutions,” Indostar’s executive vice-chairman and CEO, R Sridhar.