NAHAR CAPITAL AND FINANCIAL SERVICES LIMITED (NCFSL) is incorporated on 31st March 2006 for the purpose of taking over the investment business of NAHAR SPINNING MILLS LIMITED as per the Scheme of  Demerger and Arrangement duly approved by  Hon’ble Punjab and Haryana High Court, Chandigarh as per Order dated 21st December, 2006. The Scheme is effective from 1-4-2006.

The investments of  Rs.367.69 Crores as on 01.04.2006,  consist of an optimum blend of financial securities such as Bonds, Equity Shares, Inter Corporate Loans and Deposits and different Scheme of mutual funds. Investment business has generated very goods returns and during last three years returns are Rs.1721.95 lacs in 2003-04, Rs.1109.87 lacs in 2004-05 and Rs.1553.74 lacs in 2005-06. By demerging the investment business of NSML and registering it as Non Banking Finance Company, new activities such as finance consultancy, merchant banking, underwriting business, stock broking, Inter Corporate Lending, and other misc. finance activities generally done by the NBFC will be undertaken.