TPG in Talks to Acquire Up to 20% Stake in IIFL Capital Services
U.S. private equity firm TPG Capital is in discussions to acquire a stake of up to 20% in Indian securities company IIFL Capital Services, according to two people familiar with the matter. Due diligence is currently underway, and if the deal goes through, TPG would become a strategic investor with influence over key management decisions — adding to the growing wave of foreign investments in India’s financial services sector. TPG’s parent company declined to comment, while IIFL Capital Services did not respond to requests for clarification.
The development follows an earlier report by the Economic Times suggesting TPG was close to acquiring a larger 30–40% stake, estimated at ₹36.36 billion to ₹48.48 billion ($404–$539 million). However, Reuters sources indicated the initial transaction is likely to be smaller, capped at around 20%, with the final size yet to be determined. Following the news, shares of IIFL Capital Services briefly rose as much as 5.3% in early trade before moderating to a 1.4% gain.
The potential deal comes as IIFL Group founder Nirmal Jain looks to expand into alternative investment funds, private credit, and possibly wealth management — a segment poised for rapid growth. Deloitte estimates that assets under management in India’s wealth management industry could more than double to $2.3 trillion by FY 2028–29 from $1.1 trillion in FY 2023–24, underscoring rising investor interest and strategic expansion opportunities in the sector.
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