Hero FinCorp raises 20B Indian rupees in growth capital

Hero FinCorp Ltd. raised 20 billion Indian rupees in growth capital from U.S.-based Apollo Global Management Inc. and Hero MotoCorp Ltd., among others, Mint reported Feb. 7.

Apollo Global Management said funds within its Hybrid Value strategy committed to invest $125 million in Hero FinCorp. The investment is subject to customary closing conditions, including certain regulatory approvals, and will likely close in the second quarter. As a part of the deal, Apollo Global will pick up a 9% to 11% stake in the shadow lender.

Hero FinCorp received a deemed approval from the Competition Commission of India for the deal.

Hero MotoCorp owns a 40% stake in Hero Fincorp, while the latter's promoters, the Munjal family, own a 30-35% stake.