In a first, Bajaj Finance and Cars24 head for used car loan clinch

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Editor's note: In late October, when used car marketplace Cars24 held a meeting of shareholders in Dubai, the idea was to get their nod for an outright sale of its car financing business to Bajaj Finance, the shadow-banking arm of the Bajaj Group. The deal itself fell through over differences in valuation, says a person with direct knowledge of the development. While Cars24 wanted a premium of 8.5% on its roughly Rs 1,500 crore book, Bajaj Finance wanted a discount. A month on, things seem to have taken a slightly different turn. Now, both companies are set to announce a co-lending structure—one where the risks and profits will be shared equally between them. “The initial commitment of investment in the venture is likely to be Rs 1,000 crore,” says the person quoted above, asking not to be named. The announcement on the co-lending structure is likely to come by January-end next year, says this person, adding that it will involve an accounting arrangement; no new company will be formed. “It is going to be a profit and loss structure. The loans given …