Aptus Value Housing Finance India Limited – Aug 10 to 12

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Aptus Value Housing Finance India Limited – Aug 10 to 12

August 09, 2021
Aptus Value Housing Finance India Limited – Aug 10 to 12

Aptus Value Housing Finance is coming out with a fresh public issue to raise Rs 2,780 crores from the market.

Key details of the issue:

  • Issue opens – Aug 10 (Tuesday)
  • Issue closes – Aug 12 (Thursday)
  • Issue size – Rs 2,780 crores
  • Price band – Rs 346 to 353 per equity share
  • Bid lot – 42 shares and in multiples thereof

And here are some details of the company and further details on the Aptus Value Housing Finance issue.

Company details:

Aptus Value Housing Finance India Limited is an entirely retail-focussed housing finance company primarily serving low- and middle-income self-employed customers in the rural and semi-urban markets of India. According to the CRISIL Report, the company had the highest RoA of 5.7% among the peer set during the financial year 2021. They are one of the largest housing finance companies in south India in terms of AUM, as of Mar 31, 2021 (Source: CRISIL Report).

Their AUM has increased from Rs 22,472.33 million, as of Mar 31, 2019, to Rs 40,677.62 million, as of Mar 31, 2021, at a CAGR of 34.54%. Further, according to the CRISIL Report, they had the lowest cost-to-income ratio among the peer set during the financial year 2021.

They offer customers home loans for the purchase and self-construction of residential property, home improvement and extension loans; loans against property; and business loans. They only offer loans to retail customers and do not provide any loans to builders or for commercial real estate. They target first-time home buyers where the collateral is a self-occupied residential property.

They have diversified their geographical presence by adopting a strategy of contiguous expansion across regions and are focused on achieving deeper penetration in their existing markets. They had a network of 190 branches covering 75 districts in such states and the union territory of Puducherry. According to the CRISIL Report, they had the largest branch network in south India among the peer set, as of Mar 31, 2021.

The company is registered with the National Housing Bank (NHB) to carry out the business of a housing finance institution without accepting public deposits. Their marquee shareholders include WestBridge Crossover Fund, LLC; Malabar India Fund Limited (an affiliate of Malabar Investments); SCI Investments VI (an affiliate of Sequoia Capital); Madison India Opportunities IV (Madison India Capital); and Steadview Capital Mauritius Limited (an affiliate of Steadview Capital Management).

Their financing requirements historically have been met from several sources, including refinancing from the NHB, financing from IFC, term loans, working capital loans and issuance of non-convertible debentures (NCDs) to meet their capital requirements.

Issue size: Rs 2,780 crores

Issue break-up:

  • QIB – 50% of the offer – Rs 1,390 crores
  • NIB – 15% of the offer – Rs 417 crores
  • RET – 35% of the offer – Rs 973 crores

Listing: NSE and BSE

Registrar: KFin Technologies Private Limited

UPI: All retail applications through brokers are compulsorily in UPI mode

Not an Espresso customer, but still want to apply for the Aptus Value Housing Finance IPO? Become an Espresso customer in just 15 mins* by tapping here and take it from there! (* T&C apply)

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