Aadhar Housing Finance is looking to raise a total of Rs 3,000 crore via IPO route, which includes a fresh share sale of Rs 1,000 crore and an OFS of up to Rs 2,000 crore.
Incorporated in 2010, Aadhar Housing Finance is a housing finance company targeting the lower income segment.
The initial public offering (IPO) of Aadhar Housing Finance is set to open Wednesday, May 8, 2024. The housing finance firm will be offering its shares in the range of Rs 300-315 apiece and investors can make bids for a minimum of 47 equity shares and its multiples thereafter, until Friday, May 10.
Incorporated in 2010, Aadhar Housing Finance is a housing finance company targeting the lower income segment. The deep impact branches’ sales offices aim to serve customers in India’s tier 4 and tier 5 towns. It provides a variety of mortgage loan products for residential and commercial property purchase and construction, home improvement and extension.
Aadhar Housing Finance is looking to raise a total of Rs 3,000 crore via IPO route, which includes a fresh share sale of Rs 1,000 crore and an offer-for-sale (OFS) of up to Rs 2,000 crore by its promoter BCP Topco VII. Anchor book for the issue will open on Tuesday, May 7.
The company proposes to utilize the net proceeds from the fresh issue to meet future capital requirements towards onward lending; and general corporate purposes. Proceeds from the OFS shall go to the selling shareholder only.
Aadhar Housing had a vast network of 471 branches, including 91 sales offices, as of September 30, 2023. These branches and sales offices are spread across 20 states and union territories, and they operate in around 10,926 pin codes throughout India. It also enrolled 12,221 Aadhar Mitras who get referral fees for sourcing customers’ loans.
The company, in consultation with managers of the issue has reserved shares worth Rs 7 crore for the eligible employees of the company, who will get a discount of Rs 23 apiece during the bidding. Of the net offer, 50 per cent shares are reserved for qualified institutional bidders, while non-institutional and retail investors will get 15 per cent and 35 per cent of the net offer.
Aadhar Housing Finance reported a net profit of Rs 547.88 crore with a revenue of Rs 1,895.17 crore for the nine months ended on March 31, 2023. The company’s bottomline came in at Rs 545.34 crore with a revenue of Rs 2,043.52 crore for the entire financial year ending on March 31, 2023.
ICICI Securities, Citigroup Global Markets India, Kotak Mahindra Capital Company, Nomura Financial Advisory and Securities (India) and SBI Capital Markets are the book running lead managers of the Aadhar Housing Finance IPO, while Kfin Technologies Limited is the registrar for the issue. Shares of the company shall be listed on both NSE and BSE on May 15.
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