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Stock impact report

Japan's Mitsubishi UFJ Financial Group, Inc. (MUFG) To Buy 20% Share In India's Shriram Finance For $4.4 Billion [Yahoo! Finance]

Mitsubishi UFJ Financial Group, Inc. (MUFG) 
Company Research Source: Yahoo! Finance
Mitsubishi UFJ Financial Group, Inc. (NYSE:MUFG) of Japan will pay $4.4 billion for a 20% share in India's Shriram Finance Ltd., the largest cross-border investment in the country's financial market. The deal surpasses Mitsubishi UFJ Financial Group, Inc. (NYSE:MUFG)'s previous investments of over $1.7 billion, making it the company's largest commitment in India. As per Shriram Finance, the Indian insurance company, regulatory approvals are required for the deal. Mitsubishi UFJ Financial Group, Inc. (NYSE:MUFG) has been awarded minority protection rights, such as the right to recommend up to two non-independent directors to the board and the right to retain its shareholding in advance. These rights expire if the company's stake drops below 10% on a fully diluted basis. Furthermore, the business will be paying Shriram Ownership Trust a single $200 million non-compete and non-solicit fee, subject to shareholder approval. The investment comes after India's central bank recently clar Show less Read more
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