Rationale

 To arrive at the rating, ICRA has taken a consolidated view of Tyger Capital Private Limited (TCPL) and its wholly-owned subsidiary, Tyger Home Finance Private Limited (THFPL), given the significant operational and management linkages and common brand name. The rating action factors in TCPL’s healthy capitalisation profile with a consolidated tangible net worth of Rs. 2,060 crore and managed gearing of 3.2 times as on December 31, 2025, supported by a capital infusion of ~Rs. 1,000 crore by Bain Capital through BCC Atlantis II Pte Ltd (BCC Atlantis) in FY2024 and a further ~Rs. 225 crore in 9M FY2026 through the conversion of warrants into equity shares. ICRA notes that TCPL’s financial flexibility has also improved after the equity infusion, supporting it in raising adequate on-balance sheet funds from diverse sources. The rating reaffirmation also considers the adequate asset quality performance of TCPL, notwithstanding the uptick in delinquencies in 9M FY2026. TCPL’s consolidated gross stage 3 assets increased to 2.6% as of December 2025 from 2.1% as of March 2025, due to the challenges faced in specific geographies as well as due to the loan book seasoning. The rating considers the moderate scale, as the Group commenced operations in 2017, and its evolving earnings profile. TCPL’s consolidated return on managed assets [RoMA; profit after tax (PAT)/average managed assets (AMA)] increased to 1.8% in 9M FY2026 from 1.2% in FY2025, supported by higher income from direct assignment (DA). Its ability to improve its operating efficiency while keeping the asset quality under control would be key to improving its earnings profile on a sustained basis.