Piramal Enterprises Ltd said it agreed to buy a 20% stake in unlisted Shriram Capital Ltd for Rs. 20.14 billion ($334 million), increasing its foothold in the financial services sector.
Shriram Capital is the holding company for the Chennai-based Shriram Group, which controls Shriram Transport Finance Co Ltd and Shriram City Union Finance.
US-private equity firm TPG Capital holds a minority stake in Shriram Capital. Piramal last year bought a 9.9% stake in Shriram Transport.
Earlier this month, Piramal agreed to sell its 11% stake in the Indian unit of Vodafone Group Plc to the British group for Rs. 89 billion ($1.48 billion).