About Company

• The Company was originally incorporated as ‘Vysya Bank Housing Finance Ltd.’ in 1990 and the name of the company was changed to ‘DHFL Vysya Housing Finance Ltd’ in 2003. Separately, ‘Aadhar Housing Finance Pvt. Ltd’, incorporated in 2010 which was later converted to ‘Aadhar Housing Finance Ltd’ in 2013, was merged into ‘DHFL Vysya Housing Finance Ltd’, in 2017 and the name was changed to ‘Aadhar Housing Finance Ltd’.
• BCP Topco, which is an affiliate of funds managed by Blackstone, is the company’s Promoter and currently holds 98.72% of the pre-Offer issued, subscribed and paid-up Equity Share capital.
• Aadhar Housing Finance Company (‘Aadhar HFC’) is retail focused HFC concentrated on the low-income housing segment (ticket size less than ?1.5 million) in India and serving economically weaker and low-to-middle income customers.
• Aadhar HFC offers various mortgage-related loan products, including loans for residential property purchase and construction; home improvement and extension loans; and loans for commercial property construction and acquisition.
• Aadhar HFC had the highest AUM and Net Worth among its analyzed peers in Fiscal 2021, Fiscal 2022, Fiscal 2023 and 9 months ended December 31, 2023. The company’s Gross AUM stood at ? 19,865.2 Cr as of December 31, 2023, and grew at a CAGR of 17.3% between FY2021 to December 31, 2023.
• The average ticket size of the company’s loans has remained stable at ? 0.9 million from March 31, 2021, to March 31, 2023, and increased to ? 1.0 million as of December 31, 2023, with an average loan-to-value of 57.8% and 58.3%, as of March 31, 2023, and December 31, 2023, respectively.
• As of December 31, 2023, the company had a network of 487 branches (including 109 sales offices) in 533 districts covering 10,926 pin codes in 20 states and union territories in India.
• As of March 31, 2021, March 31, 2022, March 31, 2023, December 31, 2022, and December 31, 2023, the GNPAs accounted for 1.1%, 1.5%, 1.2%, 1.8% and 1.4% respectively, of the Retail AUM, while the Net NPAs accounted for 0.7%, 1.1%, 0.8%, 1.3% and 1.0%, respectively, of the Retail AUM.
• For FY2023, the company had reached 233,000 accounts and had more than 255,000 Live Accounts as of December 31, 2023. As of March 31, 2023, and December 31, 2023, 58.6% and 57.2% of the customers are salaried individuals and 41.4% and 42.8% are self-employed individuals, respectively.
• The company also holds a certificate of registration to act as corporate agent from IRDAI. Pursuant to this certificate and applicable guidelines, the company is permitted to enter into arrangements with insurers for the distribution of life, general and health insurance products.

Strengths

Competitive Strength 

• HFC focused on the low-income housing segment
• Seasoned business model with strong resilience through business cycles
• Extensive branch and sales office network, geographical penetration and sales channels
• Robust, comprehensive systems and processes for underwriting, collections, and monitoring asset quality
• Access to diversified and cost-effective long-term financing
• Social objectives are one of the core components of business model
• Experienced, cycle-tested, and professional management team with strong corporate governance

 Business Strategies 

• Expand the distribution network to achieve deeper penetration in key states
• Continue to focus on the target customers and grow the customer base
• Continue to invest in and roll out digital and technology enabled solutions
• Optimize borrowing costs and reduce operating expenses further

Company Promoters

Company Financials

Aadhar Housing Finance Limited Financial Information (Restated Consolidated)

Aadhar Housing Finance Limited's revenue increased by 18.22% and profit after tax (PAT) rose by 22.22% between the financial year ending with March 31, 2023 and March 31, 2022.

Objects of the Issue

The Company proposes to utilize the Net Proceeds towards the following:

1. To meet future capital requirements towards onward lending; and
2. General corporate purposes.