Blackstone-backed Aadhar Housing Finance has filed preliminary papers with markets regulator Sebi to raise Rs 7,300 crore through an initial public offering.
The IPO comprises fresh issuance of shares worth Rs 1,500 crore and an offer of sale of up to 5,800 crore by the promoter.
BCP Topco VII Pte Ltd, draft red herring prospectus filed with Sebi on Sunday showed.
The company proposes to utilise the money raised through fresh issue towards augmenting its capital base to meet future capital requirements.
Besides, the company expects to receive the benefits of listing the equity shares on the stock exchanges, including enhancing its brand name and creating a public market for its equity shares in India.
The firm, which caters to the low-income segment’s home financing needs, is backed by a private equity fund managed by Blackstone.
Blackstone had acquired 97.7 per cent stake in Aadhar in June 2019. The buyout included the entire stake held by the then controlling shareholders — Wadhawan Global Capital and Dewan Housing Finance Limited (DHFL).
Aadhar, which has business interest across 20 states and union territories, has assets under management of over Rs 11,000 crore.
The housing finance company posted a net profit of Rs 189.38 crore in the financial year 2020, up 16.6 per cent from Rs 162.37 crore in the previous fiscal year. Its total income during 2019-20 grew to Rs 1,388.46 crore from Rs 1,265.63 crore in the financial year 2019.
ICICI Securities, Citigroup Global Markets India Pvt Ltd, Nomura Financial Advisory and Securities (India) Pvt Ltd and SBI Capital Markets Ltd have been appointed as merchant bankers of the issue.
The equity shares are proposed to be listed on the BSE and NSE.