Blackstone, an alternative investment management company based in New York, is set to invest $530 million at current exchange rates for a 15% stake in IIFL Finance, a financial services company promoted by Nirmal Jain, Business Standard reported. The investment is reportedly part of a larger capital raise of more than $660 million. Jain and co-promoter R Venkataraman will put in $128 million, and Rohit Kothari, an investor in Mumbai, in western India, will contribute $11 million through his fund, Anchorage Capital. The promoters’ money is meant to let them keep a combined stake of 25% in the company.
Photo: Ajay Suresh, CC BY 4.0, via Wikimedia Commons
Blackstone will reportedly subscribe to compulsory convertible preference shares, while the promoters receive warrants. Blackstone will also get a seat on IIFL Finance’s board. The infusion should lift the company’s capital adequacy ratio by five percentage points to 28%, according to the report, which could improve its credit rating and cut its borrowing costs by 100 to 150 basis points.
IIFL Finance’s assets under management grew 38% year over year to $13.2 billion at the end of the September quarter.
The deal adds to Blackstone’s exposure to India’s financial services sector. In October 2025, the firm announced a $660 million investment in Federal Bank for a stake of up to 10%. It is also the controlling shareholder and promoter of Aadhar Housing Finance, with a 65% stake. Blackstone manages nearly $1.4 trillion in assets worldwide, the report said.
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