Aadhar Housing Finance IPO Updates:
Aadhar Housing Finance, supported by the private equity powerhouse Blackstone, is gearing up to initiate its ₹3,000-crore initial public offering (IPO) on May 8. As per the company’s red herring prospectus, the IPO is scheduled to conclude on May 10.
The IPO consists of a fresh issuance of equity shares worth ₹1,000 crore, in addition to a ₹2,000 crore offer for sale (OFS) by BCP Topco VII Pte Ltd, an affiliate of Blackstone Group Inc, the promoter. Currently, BCP Topco holds a majority stake of 98.72 percent in Aadhar Housing Finance, while ICICI Bank retains a 1.18 percent stake.
The company plans to allocate ₹750 crore from the proceeds of the fresh issue to meet future capital requirements for lending purposes, with a portion designated for general corporate purposes. Earlier this month, Aadhar Housing Finance received approval from the market regulator, the Securities and Exchange Board of India, to launch its IPO.
Specializing in mortgage-related loan products, Aadhar Housing Finance offers a range of options, including loans for purchasing and constructing residential properties, home improvement and extension loans, and loans for commercial property construction and acquisition.
Operating as a housing finance company (HFC) with a focus on the low-income housing segment, the company primarily serves economically weaker and low-to-middle-income individuals seeking small-ticket mortgage loans. As of September 30, 2023, the company boasts a network of 471 branches, including 91 sales offices. Leveraging the resources, relationships, and expertise of Blackstone, a leading global investment firm, the company gains significant advantages.
Citigroup Global Markets India Pvt Ltd, Kotak Mahindra Capital Company Ltd, Nomura Financial Advisory and Securities (India) Pvt Ltd, and SBI Capital Markets are the book-running lead managers.
