L N Mittal picks up stake in Indiabulls Credit Services

The richest Indian in the world and the owner of the largest steel company in the world (Mittal Steel), L N Mittal has reportedly picked up a stake in the non-banking finance arm of Indiabulls Financial Services (IFSL) — Indiabulls Credit Services — for Rs 90 crore.

Mittal has been in news in the recent times for his hostile bid for European steelmaker Arcelor and he has now taken an 8.2 per cent stake in this Indian company. He acquired half of these shares from the promoters of Indiabulls for Rs 45 crores. The rest of the shares were acquired through a fresh issue of 72 lakh equity shares.

Incidentally, L N Mittal is already a stockholder in the listed parent company IFSL with 7.52 per cent stake, acquired at a cost of Rs 6 per share. Sameer Gehlaut, chairperson and CEO of Indiabulls said in a statement on this deal: “India is a rapidly-growing economy and provides a unique opportunity to create a world-class financial services company. The Indiabulls group is well positioned in the personal and housing loan markets to leverage Indiabulls’ strong pan-India distribution, technology, and operation platform to benefit from the underlying growth in the domestic market.”

He further added: “The confidence of Mittal, a world-renowned entrepreneur and investor, in Indiabulls Credit Services is a testament to the huge market opportunity in front of the company.”

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