Bajaj Finance Ltd (BFL) signed a Securities Subscription Agreement, Shareholders' Agreement and Share Purchase Agreement on Friday (25 November) with Snapwork Technologies to acquire up to 40% stake in the latter by way of primary and secondary transactions.

The acquisition of Snapwork Technologies, which had a revenue of Rs 33.71 crore in FY22, is proposed with the intention to strengthen BFL's technology roadmap, the NBFC said. The transaction is expected to be completed prior to 31 December 2022, unless extended by the company,per the filing.

Incorporated in 2008, Snapwork Technologies is engaged in developing, consulting, providing, exporting, importing, marketing, dealing in and implementation of software technology and allied products for its clients and conducting research and development for the same.

BFL is mainly engaged in the business of lending. On consolidated basis, the company's net profit surged 87.8% to Rs 2,780.65 crore on 29% jump in net sales to Rs 9,972.63 crore in Q2 FY23 over Q2 FY22.

The BFL scrip advanced 0.96% at Rs 6811 on the BSE.

Powered by Capital Market - Live News

Bajaj Finance has entered into a Securities Subscription Agreement, Shareholders' Agreement and Share Purchase Agreement on 25 November 2022 to acquire up to 40% stake (fully diluted basis) in Snapwork Technologies by way of primary and secondary transactions.

The acquisition is proposed with the intention to strengthen the company's technology roadmap.

The company will invest up to Rs 93 crore to acquire 40% stake (on fully diluted basis) as under:
1. 45,098 Compulsorily Convertible Series A Preference Shares (Series A CCPS) of face value of Rs. 10 each (Primary);
2. 20,000 equity shares from promoters of Snapwork of face value of Rs. 1 each (Secondary).

Snapwork is engaged in the business of developing, consulting, providing, exporting, importing, marketing, dealing in and implementation of software technology and allied products for its clients and conducting research and development for the same.

Powered by Capital Market - Live News

Bajaj Finance has allotted 51,000 Secured Redeemable Non-Convertible Debentures (NCDs) of face value of Rs 10 lakh each aggregating to Rs 5100 crore on 16 November 2022 on private placement basis.

Powered by Capital Market - Live News

Net profit of Bajaj Finance rose 87.76% to Rs 2780.65 crore in the quarter ended September 2022 as against Rs 1480.99 crore during the previous quarter ended September 2021. Sales rose 28.90% to Rs 9690.69 crore in the quarter ended September 2022 as against Rs 7517.82 crore during the previous quarter ended September 2021.

Powered by Capital Market - Live News