About the Company
Hindon Mercantile Limited (HML) is an unlisted, RBI-registered Non-Banking Financial Company (NBFC-ND) incorporated in 1985. The company was acquired by promoter Kapil Garg in 2019 and has since developed into a technology-driven financial-services platform.
HML provides financing across MSMEs, business loans, EVs, solar equipment, mediclaim premium financing, wholesale lending and other corporate loans. Its business model combines technology, data-driven underwriting and partnerships to expand access to credit.
A major part of the investment thesis is its 54.31% holding in listed Mufin Green Finance Limited, which focuses strongly on EV and green financing. https://hindon.co/
Key Highlights
- Established: 1985
- Business: NBFC & Financial Services
- Status: Unlisted
- RBI Registration: NBFC-ND
- Promoter: Kapil Garg
- Major Subsidiary: Mufin Green Finance Ltd.
- Holding in Mufin Green Finance: 54.31%
- Focus Areas: MSME, EV, Solar, Business & Corporate Lending
- Technology-driven lending platform
- FY25 Consolidated PAT: ₹19.78 Cr
- FY25 Consolidated Net Worth: ₹702.22 Cr
- FY25 Consolidated Assets: ₹1,700.71 Cr
Business Model
Hindon Mercantile operates as a diversified lending platform.
MSME & Business Finance
Provides financing to small businesses and entrepreneurs, including working-capital and business loans.
EV & Green Financing
Through Mufin Green Finance, the group provides financing for electric vehicles, charging infrastructure and battery/swapping ecosystems.
Solar & Equipment Finance
The group finances solar panels and machinery/equipment, creating exposure to India’s growing clean-energy and productive-asset financing markets.
Consumer & Other Lending
The company also operates across personal loans, mediclaim premium financing, secured lending, wholesale financing and other corporate credit products.
Financial Snapshot
Consolidated Financials
| Particulars | FY24 | FY25 |
|---|---|---|
| Total Income | ₹120.38 Cr | ₹253.78 Cr |
| Profit Before Tax | ₹24.59 Cr | ₹25.63 Cr |
| PAT | ₹18.51 Cr | ₹19.78 Cr |
| Total Assets | ₹1,000.66 Cr | ₹1,702.28 Cr |
| Net Worth* | ₹269.38 Cr | ₹702.22 Cr |
| Loan Assets | ₹657.40 Cr | ₹1,134.81 Cr |
*Group net worth including non-controlling interests as reported by the rating agency.
FY25 was a significant scale-up year, with consolidated income more than doubling and assets increasing substantially. The loan book increased from approximately ₹657 Cr to ₹1,135 Cr.
Shareholding Pattern
Hindon Mercantile is promoter-controlled, with Kapil Garg and the promoter group holding a significant stake.
As of March 2025, Kapil Garg’s direct holding was reported at 38.15%, while Shelly Garg held 0.94%, according to FY26 disclosures.
The company has also raised capital from HNIs, family offices and venture capital investors, including a ₹27 Cr rights issue from existing investors during FY25.
Valuation & Market Position
Hindon Mercantile is an unlisted stock and therefore does not have an NSE/BSE market price.
Recent unlisted-market indications have been around ₹825–₹828 per share, with the price varying according to transaction size and liquidity. One recent indication dated September 8, 2026 was ₹828 per share.
At ₹828, the implied valuation is approximately ₹1,800–1,900 Cr, depending on the share count used.
The important point for investors is that HML should not be valued purely as a standalone NBFC. Its valuation also reflects its controlling stake in Mufin Green Finance and its broader financial-services ecosystem.
Investment Rationale
| Positives | Key Concerns |
|---|---|
| Strong asset growth | Unlisted-share liquidity is limited |
| 54.31% stake in Mufin Green Finance | NBFC business is sensitive to credit cycles |
| Exposure to EV & green finance | Asset-quality risk |
| Diversified lending portfolio | Funding costs can impact margins |
| Technology-driven lending model | Rapid growth requires strong risk controls |
| Capital raised from institutional/HNI investors | Valuation has increased significantly |
| Large increase in FY25 scale | Regulatory risk |
| Promoter-led business with financial-services ecosystem | Future capital requirements |
Growth Opportunity
Hindon Mercantile’s biggest opportunity lies in the combination of financial inclusion + technology + specialised lending.
The group’s exposure to EV financing, solar financing and MSME lending provides access to sectors expected to grow alongside India’s formalisation and credit expansion.
Its majority ownership of Mufin Green Finance is particularly important because Mufin provides a direct exposure to India’s emerging EV and climate-finance ecosystem.
Risk Factors
- Credit Risk: Lending businesses are exposed to borrower defaults and deterioration in asset quality.
- Asset Quality: FY25 consolidated gross NPA was reported at approximately 2.32% by unlisted-market data.
- Funding Risk: Rapid loan-book growth requires continuous access to funding.
- Interest-Rate Risk: Higher borrowing costs can compress margins.
- Regulatory Risk: NBFCs operate under RBI regulations.
- Liquidity Risk: HML shares are unlisted and may take time to sell.
- Valuation Risk: OTC prices can differ materially from intrinsic value.
- Execution Risk: Rapid expansion across multiple lending segments requires disciplined underwriting.
Share Details
| Particular | Details |
|---|---|
| Company | Hindon Mercantile Limited |
| Status | Unlisted |
| Sector | NBFC / Financial Services |
| CIN | U34300DL1985PLC021785 |
| ISIN | INE08GI01012 |
| Face Value | ₹10 |
| Promoter | Kapil Garg |
| Major Subsidiary | Mufin Green Finance Ltd. |
| Holding in Mufin Green Finance | 54.31% |
| Indicative Price | ~₹825–₹828* |
*Indicative unlisted-market price; actual transaction price may vary depending on liquidity, lot size and transaction terms.
How to Invest
Hindon Mercantile shares are available through the unlisted-share market through intermediaries dealing in unlisted securities.
Before investing, investors should verify the latest price, ISIN, share availability, transfer process and applicable taxation.
Investment View
Hindon Mercantile is an interesting unlisted NBFC with a differentiated investment angle.
The company has rapidly expanded its asset base, operates across multiple lending segments and, most importantly, provides indirect exposure to the EV and green-financing opportunity through its 54.31% stake in Mufin Green Finance.
The FY25 numbers show strong growth in scale, although profitability has not increased at the same pace as assets. This makes asset quality, funding costs and return on capital the key metrics to monitor going forward.
At current unlisted valuations, the stock is not a low-valuation story; therefore, the investment case depends more on sustained growth, improvement in profitability and successful scaling of its financial-services ecosystem.
Overall View: Positive but valuation-sensitive — suitable for investors comfortable with unlisted liquidity and NBFC/credit risk.
Disclaimer
This information is provided for educational and informational purposes only and should not be considered investment advice, an offer to buy or sell securities, or a recommendation to invest. Unlisted-share prices are indicative and can change based on market conditions, liquidity and availability. Investors should conduct their own due diligence and consult a SEBI-registered investment adviser before making investment decisions.
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