Aadhar Housing Finance IPO opened on May 08 for retail investors for subscription to raise a total of Rs 3,000 crore via a combination of fresh issue and offer for sale. The issue will close on May 10.
Price Band
The company has set the issue price between a range of Rs 300 to 315 per equity share. The allotment is expected to be finalised by May 13 and the listing to be on May 15.
About Aadhar Housing Finance
The company provides housing loans to the lower-income segment, having a high presence in tier 4 and 5 towns due to deep impact branches. The company is in the business of providing various mortgage loan products for residential and commercial properties.
Employee Reservation
The company has kept aside 2,39,726 shares for the employees and will be offering them at a discount of Rs 23 to the issue price. A retail bidder needs to apply for a minimum of 47 shares amounting to Rs 14,805.
Expert’s View
“Given Aadhar HFC’s growing gross AUM and net worth, coupled with a stable average ticket size of loans, it indicates sound financial health and potential for further expansion. Additionally, its increasing penetration into tier 4 and tier 5 towns suggests promising growth prospects. Hence, considering all the parameters, we are recommending investors to “Subscribe” the issue for the long term perspective,” said Rajan Shinde, Research Analyst at Mehta Equities.
BRLMs
A total of five book-runners are managing the issue of Aadhar Housing Finance namely ICICI Securities, Citigroup Global Markets India, Kotak Mahindra Capital Company, Nomura Financial Advisory & Securities, and SBI Capital Markets. Kfin Technologies is working as the registrar for the issue.