Retail-focussed housing finance company, Aptus Value Housing Finance India has fixed the price band at Rs 346-353 per equity share for its initial public offering.
The public offer will open for subscription on August 10 and will close on August 12. The anchor book, if any, will open for one working day prior to issue opening date, i.e. August 9.
The IPO comprises a fresh issue of Rs 500 crore, and an offer for sale of up to 6,45,90,695 equity shares by existing selling shareholders including promoter Padma Anandan, and investors Aravali Investment Holdings, JIH II LLC, GHIOF Mauritius, and Madison India Opportunities IV. The total fund raising comes to Rs 2,780.05 crore.
The net proceeds from fresh issue will be utilised for augmenting tier I capital requirements.
Investors can bid for a minimum of 42 equity shares and in multiples of 42 equity shares thereafter. Retail investors can invest a minimum of Rs 14,826 per lot and the maximum investment would be Rs 1,92,738 for 13 lots.
To Know All IPO Related News, Click Here
The company has reserved up to 50 percent of total offer for qualified institutional buyers, 35 percent for retail investors, and 15 percent for non-institutional investors.
Aptus Value Housing Finance offers customers home loans for the purchase and self-construction of residential property, home improvement and extension loans; loans against property; and business loans. The company only offers loans to retail customers and does not provide any loans to builders or for commercial real estate.
The company targets first time home buyers where the collateral is a self-occupied residential property. Loans to self-employed customers accounted for 72.05 percent of its assets under management (AUM), while loans to salaried customer accounted for 27.95 percent of AUM as of March 2021.
It is one of the largest housing finance companies in south India in terms of AUM as of March 2021. Its AUM have increased at a CAGR of 34.54 percent to Rs 4,067.76 crore during FY19-FY21. Since the inception, the company has not restructured any loans or written-off any loans receivable.
Promoters M Anandan, Padma Anandan, and WestBridge Crossover Fund LLC held 60.84 percent stake in the company, while selling investors Aravali Investment Holdings, JIH II LLC, GHIOF Mauritius, and Madison India Opportunities IV held 18.53 percent shareholding in the company.
The book running lead managers to the issue are ICICI Securities, Citigroup Global Markets India, Edelweiss Financial Services and Kotak Mahindra Capital Company.