Aadhar Housing Finance makes muted debut on stock exchanges, shares list flat

Blackstone-backed Aadhar Housing Finance Ltd made a muted debut in stock exchanges on Wednesday with shares listing flat at the issue price of ₹315 per share.

Aadhar Housing Finance shares are listed at ₹315 per share of NSE, which was the issue price. The stock gained nearly 5% to hit a high of ₹329.90 later. More than 302 lakh shares of the company changed hands on NSE.

Shares of the company were trading higher by 0.71% at ₹317.25 per share at 10.15 AM.

Aadhar Housing Finance made a lukewarm start on BSE as well. The stock is listed at ₹314.3 per share, marginally down from the issue price of ₹315 per share.

Shares hit a high of ₹329.8 apiece at the start of trade but soon lost momentum to touch a low of ₹293.35 per share on selling by investors.

Aadhar Housing Finance shares were trading 1.69% down at ₹309 per share at 10.15 AM on BSE. The market valuation of the company stood at ₹13,168.76 crore.

Aadhar Housing Finance Limited IPO subscription

Aadhar Housing Finance public offer was open for subscription from May 8 to May 10. The company launched the IPO to raise a total of ₹3,000 crore from public investors. The IPO comprised an Offer for Sale component of ₹2,000 crore (around 6.35 crore shares) and a fresh issue of 3.17 crore shares worth ₹1,000 crore.

The issue closed with an overall subscription of around 27 times largely driven by qualified institutional investors.

According to exchange data, the IPO received bids for 178.65 crore shares against 6.67 crore shares on offer. The Qualified Institutional Buyers’ portion was booked 76.42 times, the Non-Institutional Investors’ category was subscribed more than 17 times and the retail portion was booked around 2.58 times.

Aadhar Housing Finance had raised around ₹898 crore from anchor investors by allotting 28,504,761 shares at a price of ₹315 per share.

Aadhar Housing Finance IPO objects

Aadhar Housing Finance, a housing finance company registered with the National Housing Bank, provides low-income housing finance products for the economically weaker sections and lower-income segments. It caters to both salaried and self-employed borrowers.

According to its RHP, the company plans to utilise ₹750 crore of the IPO proceeds from the fresh issue for meeting future capital requirements towards onward lending. The rest will be used for general corporate purposes.

Aadhar Housing Finance’s promoter BCP Topco held a 98.72% stake before the IPO. Blackstone Group Inc affiliate BCP Topco VII Pte Ltd sold shares worth ₹2,000 crore through the OFS route.

The company reported a total income of ₹2043.23 crore for the year ended March 31, 2023 against ₹1,728 crore in the year ended on March 31, 2022.

Profit after tax was ₹444.85 crore in 2023-24 compared t0 ₹ 544.76 crore in the year-ago period.