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UGRO Capital Soars 3.34% Following ₹1,400 Crore Profectus Capital Takeover Announcement

By Shishta Dutta | Published at: Jun 18, 2025 11:17 AM IST

UGRO Capital Soars 3.34% Following ₹1,400 Crore Profectus Capital Takeover Announcement
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18 June 2025: UGRO Capital Ltd (NSE: UGROCAP) surged 3.34% to ₹177.20 in morning trade after unveiling plans to acquire Profectus Capital in a ₹1,400 crore all-cash transaction.

The stock opened strong at ₹182.28, climbed to an intraday high of ₹185.00, and was last seen trading with a gain of ₹5.73 from Monday’s close of ₹171.47. More than 10.28 lakh shares changed hands, generating a turnover of ₹18.36 crore.

As of 10:13 AM IST on June 18, shares of UGRO Capital Ltd were trading at ₹178.76, marking a rise of ₹7.29 or 4.25% for the day. The stock opened at ₹182.28, touched a high of ₹185.00, and dipped to a low of ₹175.00 during early trade. The company’s market capitalisation stood at ₹2,080 crore, with a P/E ratio of 12.40. The 52-week range spans from a low of ₹142.33 to a high of ₹293.98.

UGRO’s Bold Bet: Full Buyout of Profectus to Fuel MSME Lending Push

UGRO Capital will take over 100% of Profectus Capital, aiming to cement its position in the secured MSME financing space.

The acquisition, which is pending shareholder and regulatory approvals, is expected to close in 2–3 months.

Deal At-A-Glance

  • Transaction Size: ₹1,400 crore (cash deal)
  • Targeted AUM: ₹3,468 crore (projected by March 2025)
  • Profit Boost Forecast: ₹150 crore annually
  • RoA Impact: Expected rise of 0.6% to 0.7%
  • Profectus Reach: Presence across 7 Indian states
  • UGRO’s FY25 Estimated Revenue: ₹420 crore

Market Check: UGRO Stock Performance Snapshot

Metric Value
Last Traded Price ₹177.20
Day’s High / Low ₹185.00 / ₹175.00
VWAP ₹178.48
52-Week High / Low ₹294.12 / ₹142.40
Total Market Cap ₹2,088.04 Cr
Free Float Market Cap ₹827.18 Cr
Adjusted P/E 14.04
Daily Volatility (%) 2.47
Annualised Volatility (%) 47.19
% Deliverable 55.80%

Order Book Signals: Buyers Active, But Sellers Dominate

Bid Price Qty Ask Price Qty
₹177.09 182 ₹177.20 100
₹177.08 30 ₹177.22 56
₹177.05 50 ₹177.23 150

Buy Quantity: 85,465

Sell Quantity: 2,06,176

What’s Driving the Deal? UGRO Seeks Higher Income & RoA with Profectus

This acquisition aligns with UGRO’s strategy to diversify and expand its loan book through stronger secured offerings. With Profectus’ active presence in 7 states and its secured MSME portfolio, UGRO anticipates higher margins, enhanced profitability, and improved return ratios once the integration is completed.

Company Overview: UGRO’s Data-Driven Lending Focus Targets MSME Growth

UGRO Capital Ltd, listed since August 11, 2021, is a tech-enabled NBFC specialising in MSME credit. The firm operates across India’s SME clusters and leverages analytics for credit underwriting.

With an adjusted P/E of 14.04, the company is moderately valued relative to its peers, positioning it well for growth via acquisition.

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Please note that the information shared is intended solely for informational purposes and does not make any investment recommendations

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