Sundaram Finance Limited (SFL) has received in-principle approval for the acquisition of Capitalgate Investment Advisors Private Limited (CGIA) by Sundaram Alternate Assets Limited (SAAL). CGIA’s AI engine for real-time research holds substantial future value. The Board Meeting which approved the acquisition, commenced at 10:00 A.M. and concluded at 1:05 Р.М. on November 3, 2025.
Acquisition Approval Details
The Board of Directors of Sundaram Finance Limited (SFL) has granted in-principle approval for the acquisition of Capitalgate Investment Advisors Private Limited (“CGIA”) by Sundaram Alternate Assets Limited (“SAAL”). SAAL is a wholly-owned subsidiary of Sundaram Asset Management Company Limited (SAMCL), which itself is a wholly-owned subsidiary of SFL. After the completion of the proposed acquisition, CGIA is proposed to be amalgamated with SAAL.
Strategic Rationale
CGIA is developing an AI engine with the capability to deliver real-time research. This has the potential to be a valuable business in the future, both financially and from a value addition perspective to SAA’s funds business. CGIA’s research would support SAA’s investment decisions.
Financial Details of CGIA
Key financials of Capitalgate Investment Advisors Private Limited (CGIA):
FY 2024-25:
- Revenue From Operations: ₹21.87 lakhs
- Profit Before Tax (PBT): ₹12.40 lakhs
- Profit After Tax (PAT): ₹9.83 lakhs
- Net worth: ₹40.30 lakhs
As of September 30, 2025:
- Revenue From Operations: ₹11.44 lakhs
- Profit Before Tax (PBT): ₹5.93 lakhs
- Profit After Tax (PAT): ₹4.39 lakhs
- Net worth: ₹44.69 lakhs
Terms of Acquisition
The acquisition will be for 100% ownership of CGIA at a consideration of ₹35 cr, valuing the shares at ₹1,060.60 per share, payable in cash.
The indicative time period for completion of the acquisition is 1 month.
Source: BSE