Tata Capital Acquires Majority Stake in Yogloans, Forays Into Gold Loan Business

Mumbai: Tata Capital on Monday announced the acquisition of a majority stake in Kerala-based Yogakshemam Loans (Yogloans), marking the Tata Group financial services company’s entry into the gold loan business as it looks to diversify its retail lending portfolio.

The proposed all-cash transaction, subject to regulatory approvals, values Yogloans at a pre-money equity valuation of up to Rs 318 crore and includes a primary capital infusion of about Rs 93 crore to support the company’s growth plans.

Following the completion of the deal, Tata Capital will hold around 88.6 per cent of the company’s issued and paid-up share capital on a fully-diluted basis.

Tata Capital said Yogloans’ promoter and Managing Director Unnikrishnan Idicharm Veetil will continue to lead the company after the acquisition.

The company also said it intends to consolidate the business at a later stage, subject to necessary approvals.

Yogloans, an RBI-registered non-banking finance company headquartered in Thrissur, has assets under management of Rs 708 crore as of March 31, 2026.

The company has a presence in the southern states.

The acquisition gives Tata Capital an immediate presence in the secured gold loan segment, where established players such as Muthoot Finance, Manappuram Finance and banks have expanded rapidly amid sustained demand for collateral-backed retail credit.

The demand for gold loans has increased in the past few months amid higher prices and push for secured credit, with outstanding credit extended by non-banking financial companies (NBFCs) against gold jewellery surging nearly 70 per cent year-on-year in May, marking the fastest growth among all major lending segments.

Outstanding loans against gold jewellery stood at Rs 3.29 lakh crore at the end of May 2026, up 69.9 per cent from Rs 1.94 lakh crore a year earlier.

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