New Delhi, June 18 -- Shares of UGRO Capital surged over 7 percent in intraday trade on Wednesday, June 18, following the company's announcement of acquiring Mumbai-based NBFC Profectus Capital Private Limited in an all-cash deal worth Rs.1,400 crore. The acquisition, subject to shareholder and regulatory approvals, is expected to be completed in the next two to three months.

The deal will be financed through a combination of UGRO's recently concluded Rs.400-crore rights issue and internal accruals. UGRO may also issue compulsorily convertible debentures to fund the balance. The company said the strategic acquisition will immediately expand its assets under management (AUM) by 29 percent, increasing the total consolidated AUM to approxim...