Apax Partners has agreed to invest INR5 billion ($83.2 million) for a reported 8% equity stake in Cholamandalam Investment & Finance (NSE: CHOLAFIN). Compulsorily convertible, the shares will carry a dividend coupon of 1% per annum payable from the date of allotment until the date of conversion into equity shares, which will be 12 months from the date of allotment or earlier. The capital infusion will support Chola's growth and augment its Tier 1 capital adequacy ratio. Chola provides comprehensive financial services including vehicle finance, home loans, home equity loans and SME loans. It operates from over 575 branches across India with AUM above INR250 billion ($4.2 billion).