Aadhar Housing Finance Limited IPO: An Overview and Company Insight
Aadhar Housing Finance Limited was established in 2010. It is a housing finance company that is geared towards the lower-income segment. It aims to serve customers in tier 4 and tier 5 towns in India.
The company offers an array of mortgage loan products catering to various needs, including residential and commercial property acquisition or construction, as well as home improvement and extension loans. As of September 30, 2023, Aadhar Housing Finance Limited has enrolled 12,221 Aadhar Mitras, agents who receive referral fees for sourcing customers’ loans. The company has a widespread network of 471 branches, including 91 sales offices, which operate around 10,926 pin codes in the country.
Grey Market Premium Analysis and IPO Timelines: Aadhar Housing Finance Limited IPO
| Date | GMP |
| May 6 | ₹52 |
| May 5 | ₹52 |
| May 4 | ₹55 |
| May 3 | ₹61 |
| May 2 | ₹65 |
| May 1 | ₹130 |
The last update for Aadhar Housing Finance Limited IPO was on May 6, 2024, at 09:01 AM. The GMP is ₹52. The expected listing price of Aadhar Housing Finance Limited IPO, with a price band of 315.00, is ₹367 (cap price + today’s GMP). 16.51% is the anticipated percentage gain or loss per share.
Pricing Details and Lot Size – Aadhar Housing Finance Limited IPO
The price band for Aadhar Housing Finance Limited is ₹300 to ₹315 per share.
Book-running Lead Managers and Registrar – Aadhar Housing Finance Limited IPO
ICICI Securities Limited, Citigroup Global Markets India Private Limited, Kotak Mahindra Capital Company Limited, Nomura Financial Advisory And Securities (India) Pvt Ltd, and SBI Capital Markets Limited are the Book Running Lead Managers (BRLM) to the issue, while Kfin Technologies Limited is the registrar for the issue.
Offer for Sale and IPO Size Breakdown – Aadhar Housing Finance Limited IPO
Comprising a fresh issue of 3.17 crore shares aggregating to Rs 1,000.00 crores and an offer for sale of 6.35 crore shares aggregating to Rs 2,000.00 crores, the Aadhar Housing Finance Limited IPO is a book-built issue of Rs 3,000.00 crores.
IPO Timelines at a Glance – Aadhar Housing Finance Limited
| Event | Date |
| IPO Opening Date | May 8, 2024 |
| IPO Closing Date | May 10, 2024 |
| IPO Allotment Date | May 13, 2024 |
| Initiation of Refunds | May 14, 2024 |
| Credit of Shares to Demat | May 14, 2024 |
| IPO Listing Date | May 15, 2024 |
Utilisation of Fresh Issuance and Technological Advancements – Aadhar Housing Finance Limited IPO
The offer’s objectives are to:
- Meet the future requirements for capital for onward lending.
- General corporate purposes.
Conclusion
Aadhar Housing Finance Limited has an extensive presence ensuring accessibility and convenience for their clients. As of September 30, 2023, their services extended to 471 branches, including 91 sales offices, spanning 20 states and union territories that include approximately 10,926 pin codes across India. One of the core objectives of their business model is financial inclusion for the low-income segment and contributing to improving their standard of living.
The company has robust systems for underwriting, collections, and monitoring asset quality. They have adopted a digital IT infrastructure to improve operational efficiency and increase customer reach and distribution capability.
Between the financial years ending March 31, 2023, and March 31, 2022, the company’s revenue witnessed an 18.22% increase, while its profit after tax surged by 22.22%. As of September 30th, 2023, the company has a dedicated team of 3,695 employees. Its subsidiary, Aadhar Sales and Services Private Limited (ASSPL), also contributes significantly with a 1,851-employee workforce. Through 471 branches and offices, the company has served 246,983 customers across the nation.
Frequently Asked Questions – Aadhar Housing Finance Limited
What does Aadhar Housing Finance Limited specialise in?
Aadhar Housing Finance Limited is geared towards the lower-income segment. It aims to serve customers in tier 4 and tier 5 towns in India. The company offers an array of mortgage loan products catering to various needs, including residential and commercial property acquisition or construction, as well as home improvement and extension loans.
What is the primary purpose of Aadhar Housing Finance Limited’s IPO?
The offer’s objectives are to meet the future requirements for capital for onward lending and fund general corporate purposes.
Who are the lead managers for Aadhar Housing Finance Limited’s IPO?
ICICI Securities Limited, Citigroup Global Markets India Private Limited, Kotak Mahindra Capital Company Limited, Nomura Financial Advisory And Securities (India) Pvt Ltd, and SBI Capital Markets Limited are the book-running lead managers to the issue with Kfin Technologies Limited as the registrar for the issue.
How is the IPO structured in terms of new issuance and offer for sale (OFS)?
The Aadhar Housing Finance Limited is a book-built issue of Rs 3,000.00 crores comprising a fresh issue of 3.17 crore shares aggregating Rs 1,000.00 crores and an offer for sale of 6.35 crore shares aggregating to Rs 2,000.00 crores.
What is the lot size and minimum investment for retail investors in the Aadhar Housing Finance Limited’s IPO?
The minimum lot size is 47 shares. Retail investors are required to make a minimum investment of ₹14,805.
What is the price band for Aadhar Housing Finance Limited’s IPO?
The price band for Aadhar Housing Finance Limited is ₹300 to ₹315 per share.
How has the Grey Market Premium (GMP) trend for Aadhar Housing Finance Limited’s IPO?
The last update for Aadhar Housing Finance Limited IPO was on May 6, 2024, at 09:01 AM. The GMP is ₹52. The expected listing price of Aadhar Housing Finance Limited IPO, with a price band of 315.00, is ₹367 (cap price + today’s GMP). 16.51% is the anticipated percentage gain or loss per share.
When does the IPO open and close for application?
Aadhar Housing Finance Limited IPO will open for subscription on May 8, 2024 and close May 10, 2024.
When is the allotment date for the Aadhar Housing Finance Limited IPO?
The allotment date is set for May 13, 2024.
When is Aadhar Housing Finance Limited expected to be listed on the stock exchanges?
The equity shares of Aadhar Housing Finance Limited are anticipated to be listed on May 15, 2024, on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
