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Sammaan Capital
Our verdict on Sammaan Capital isn’t the consensus take — see where we landed, and the one risk the bull case glosses over.
See the verdict — free →Does management do what it says?
The company recorded INR 468 crores in net gain on derecognition for the quarter, significantly exceeding the previous guidance of INR 150 crores. (1 exceeded across 1 tracked commitment)
“Aiming for a Standalone Growth AUM of ~₹15,000 Cr by FY27 and a steady-state RoA of 4%+”
The company has achieved a Net NPA of 0.8% (80 bps) in Q1FY26, which is significantly better than the target range of 120 bps. (3 exceeded across 3 tracked commitments)
“we would still like to stick to the 120-basis points type of range and not over commit ourselves”
See the full cited Management analysis of Sammaan Capital
How durable is the business?
The digital platform is evolving into an 'End-to-End Online Loan Fulfillment system' that automates underwriting and reduces fraud by integrating directly with government and bank data sources. (4 expanding)
“eMortgage offers paperless loan fulfilment up to disbursement... Up to 60% of customers will come through this channel by end of FY26”
The company is leveraging technology to maintain a low cost-to-income ratio of 27.9%, with a target to drop below 20% by FY27 through digital scale. (2 expanding)
“Cost to Income (%) FY25 27.9%; FY27 Targets <20%”
See the full cited Business Model analysis of Sammaan Capital
Where does growth come from?
Growth AUM (new high-quality loans) is showing strong upward momentum, now making up 60% of the total portfolio compared to roughly 40% a year ago. (2 accelerating, 3 steady across 5 signals)
“Growth AUM [₹ Cr] 44,038 Q3FY26 34,952 Q3FY25”
The company is expanding its product suite to include higher ticket sizes (INR 2-3 crores) while maintaining its core focus on the underserved self-employed market. This geographic and product expansion is supported by a plan to grow the branch network to 500+ locations. (1 accelerating across 1 signal, 1 leading indicator)
“We've made a blueprint as to how do we get to about 400 to 500 cities very, very quickly over the course of the next 2 financial years.”
See the full cited Future Growth analysis of Sammaan Capital
What could break the thesis?
EMERGING. Management acknowledged that the current structure of an NBFC owning another NBFC (Sammaan Finserve) is not long-term enabled by RBI and requires a firm plan for de-subsidiarization or listing. (1 emerging, 4 easing, 2 high-severity)
“We await RBI approval for the preferential allotment and SEBI approval for the open offer. Post that, it will take about 15 days to post the approvals to be received.”
The risk is stable but being managed through the overall reduction of the legacy book; MMR and NCR still represent over 52% of the legacy geographical distribution. (2 stable)
“Geographical Distribution MMR 28.2% NCR 24.1%”
See the full cited Risk analysis of Sammaan Capital
Read the full thesis on Sammaan Capital
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