RBI issued final acquisition-finance guidelines effective April 1, 2026, raising banks’ portfolio cap to 20% of eligible capital, permitting top-up stake purchases only where the acquirer already has control, allowing integral debt refinancing, and increasing the per-person loan-against-shares limit to Rs 1 crore with a Rs 25 lakh sub-limit for secondary-market purchases and for IPO/FPO/ESOP subscriptions (with 25% cash margin).

Banks get materially more balance-sheet headroom for acquisition financing versus the draft, which can increase availability of leveraged top-up transactions and related refinancing for control holders crossing 26%–90% ownership thresholds. The tighter borrower eligibility (Rs 500 crore net worth, three years of net profit, and investment-grade rating for unlisted acquirers) narrows access to larger, profitable buyers and reduces scope for weaker sponsors. The higher retail loan-against-shares ceiling and explicit Rs 25 lakh limits for secondary-market buying and primary subscriptions can expand bank-funded participation in equity markets, while the 25% cash margin hard-caps leverage at 75% of subscription value. InvIT acquisition funding is pulled into the same framework, constraining structures that do not meet the control/leverage/security conditions from April 1, 2026.