JM Financial Credit Solutions Limited signed an letter of intent to acquire an additional 71.79% stake in JM Financial Asset Reconstruction Company Limited from JM Financial Limited (BSE:523405) for INR 8.6 billion on July 6, 2024. Approximately, 570 million shares will be acquired. Upon completion, JM Financial Credit Solutions Limited will own 81.77% stake in JM Financial Asset Reconstruction Company Limited.

For the period ending March 31, 2024, JM Financial Asset Reconstruction Company Limited reported total revenue of INR 3.44 billion and net worth of INR5.99 billion. The transaction is subject to approval by regulatory board / committee, approval of merger agreement by target board and approval of offer by target shareholders. The deal has been approved by the board.

The expected completion of the transaction is October 4, 2024 to January 2, 2025.