(MENAFN- Trend News Agency)
Leading NBFC IIFL Finance Limited on Thursday said that its
wholly-owned subsidiary, IIFL Home Finance Limited, has entered
into definitive agreements for raising Rs 2,200 crore for a 20%
stake from a wholly-owned subsidiary of the Abu Dhabi Investment
Authority (ADIA). The deal completion is subject to regulatory
approvals, Trend reports citing Business Standard.
IIFL Home Finance is one of India's largest affordable housing
finance companies with assets under management of Rs 23,617 crore
as of March 31, 2022.
This would be one of the largest equity investments in the
affordable housing finance segment in India by a financial
investor. Avendus Capital advised IIFL Home Finance on this
transaction. 'Backed by a technology backbone enabling 100% digital
onboarding for home loans, robust credit appraisal and collection
systems, IIFL Home Finance Limited proposes to use the additional
capital to continue its granular expansion strategy into new
markets to address the significant and growing demand for housing
loans,' said IIFL Finance in a stock exchange filing.
Speaking on the occasion, Nirmal Jain, Founder, IIFL Group said,
“The investment recognizes IIFL Home Finance's position as one of
India's largest providers of affordable housing loans and how well
it is placed to continue to target the large, resilient housing
finance market.”
Established in 2006, IIFL Home Finance has an active customer
base of 168,000 across 16 states and 2 union territories with over
200 branches backed by over 3,200 employees. The company offers
small-ticket housing loans, loans against property and construction
finance.
“IIFL Home Finance has already established itself as one of
India's leading technology-enabled mortgage lenders. This
investment aims to support the company for its next phase of
growth, as it meets the significant demand in India's large,
under-served and fast-growing affordable housing finance market,'
said Hamad Shahwan Aldhaheri, Executive Director of the Private
Equities Department at ADIA.
Speaking on the occasion, Monu Ratra, CEO, IIFL Home Finance
said,“IIFL Home Finance has built a strong foundation and is at an
inflection point as it leverages new strategies such as co-lending,
foraying into more granular products and expanding reach across
Tier II and Tier III regions. We welcome our new partners and look
forward to working with them in the next phase.”
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