Blackstone-backed Aadhar HF plans to soon re-file for Rs 5,000-5,500 crore IPO

Adhir Housing Finance had earlier received the SEBI nod for an IPO in May 2022

Aadhar Housing Finance, backed by private equity major Blackstone, is planning to re-file draft papers with market regulator Sebi as the company looks to raise Rs 5,000 to Rs 5,500 crore via an initial public offering (IPO) in 2024, multiple industry sources told Moneycontrol.

"The plan is to re-file draft documents with the regulator by early to mid February. This would be a combination of primary and secondary issue of shares ," said one of the persons privy to the development.

"The targeted valuation for the entire firm is between Rs 22,000 crores to Rs 25,000 crores ," a second person added.

A third person said that ICICI Securities, Nomura, Citi, SBI Capital and Kotak Mahindra Capital are the investment banks working on the fresh listing attempt.

All the three persons above spoke to Moneycontrol on the condition of anonymity.

When contacted, Blackstone declined to comment. The syndicate of investment banks working on the proposed listing could not be immediately reached for a comment.

Aadhar Housing Finance had previously filed papers for an IPO in January 2021 and had received a nod from the regulator in May 2022. After a year, the validity of the approval lapsed, and the issuers now need to file documents afresh.

In February 2019, Blackstone entered into a definitive agreement to acquire the entire stake in Aadhar Housing Finance Limited held by the existing controlling shareholders Wadhawan Global Capital Limited and Dewan Housing Finance Limited  for an undisclosed amount. As part of the transaction, Blackstone also agreed to simultaneously infuse Rs 800 crore primary equity capital into Aadhar HF to fund the company for future growth.

Aadhar HF, established in 2010, is one of the largest affordable housing finance companies in India. The company claims to have catered to over 2 lakh customers through more than 350 branches spread across the country.

Deal action in NBFC sector

The NBFC segment has been abuzz with deal activity in recent times.

US private equity major Warburg Pincus-promoted Avanse Financial Services shortlisted 6 investment banks as advisors as the Mumbai-based firm gears up to go public in 2024 to raise around Rs 4,000 crore, Moneycontrol reported on January 3, 2024.

Other players in the NBFC segment are also eyeing listings this year.

On December 5, Moneycontrol reported that TPG and Norwest Ventures backed SK Finance, a Jaipur based used vehicle financier, had kickstarted preliminary discussions with investment banks to explore an IPO.

Meanwhile, Chennai-based top retail NBFC (non-banking finance company) Shriram Finance is revisiting options to unlock value in Shriram Housing Finance Ltd and has launched a process to sell a controlling stake in the subsidiary.