Axis Finance raises Rs 750 crore from Kedaara Capital via preferential issuance

Kolkata: Axis Finance, a non-banking subsidiary of Axis Bank, raised Rs 750 crore from Kedaara Capital via a preferential issuance, the company announced Saturday. This is in addition to the Rs 1,500 crore capital infusion by Axis Bank through a rights issue of shares that was approved by the Axis Finance's board on April 17. This is the first ever capital raise by Axis Finance from an external investor. Kedaara Capital's primary infusion remains subject to customary regulatory approvals. This transaction will bolster the company's capital base and support growth. Axis Finance operates in the retail, MSME and wholesale loan segments. The company had a business of Rs 47692 crore at the end of March, which grew 22% over Rs 39079 crore recorded a year prior. It has posted a net profit of Rs 806 crore, reflecting a 19% year-on-year surge.