Shriram Finance has received approval to enter into definitive agreements with MUFG Bank for an investment of Rs 39,618 crore (around $4.4 billion) in the company through a preferential issuance of equity shares. This investment will result in MUFG Bank acquiring a 20% stake on a fully diluted basis. This collaboration combines the company’s established domestic franchise and extensive distribution network with MUFG Banks’s global expertise and financial strength. The fund infusion will significantly enhance the company’s capital adequacy, strengthen its balance sheet, and provide long term growth capital.

This collaboration is further expected to unlock synergies in technology, innovation, and customer engagement, driving sustainable growth. It will improve access to low-cost liabilities and potentially strengthen the company’s credit ratings while aligning governance and operational practices with global best standards. The board of directors of the company at their meeting held on December 19, 2025, has approved the same.

Shriram Finance (Formerly Shriram Transport Finance Company) is one of the largest asset financing NBFC in the country and holistic finance provider for the commercial vehicle industry and seeks to partner small truck owners for every possible need related to their assets.