Ugro Capital Limited announced today, January 8th, 2026, that its Board of Directors has approved the Scheme of Amalgamation for Profectus Capital Private Limited (PCPL), a wholly owned subsidiary, to merge with Ugro Capital. This scheme is being undertaken under Sections 230-232 of the Companies Act, 2013, and is subject to approvals from the National Company Law Tribunal (NCLT), stock exchanges, SEBI, RBI, and other regulatory authorities.

PCPL, a non-deposit taking NBFC, focuses on secured lending to MSMEs and factoring. Ugro Capital, also a middle-layer NBFC, specializes in MSME and small business financing with a diversified portfolio. The rationale for this amalgamation includes strengthening the combined entity's asset mix, enhancing operational efficiencies through geographic and product alignment, achieving sustainable growth, optimizing capital utilization, reducing overlaps, and improving organizational capabilities.

Upon the scheme's effectiveness, PCPL will be dissolved without any consideration, as Ugro Capital holds its entire shareholding. The company also announced an increase in its Commercial Paper borrowing limit from ₹500 crore to ₹800 crore. The Board meeting commenced at 4:30 PM and concluded at 6:30 PM on January 8th, 2026.