Aptus Value Housing Finance IPO will open on August 10.
Aptus Value Housing Finance on Thursday said it has fixed a price band of Rs 346-353 per share for its initial public offering of Rs 2,780 crore.
The company said the initial share sale will be open for public subscription on August 10 and will end on August 12.
The initial public offering (IPO) consists of fresh issue of equity shares worth Rs 500 crore and offer for sale of 64,590,695 equity shares by promoters and existing shareholders.
The IPO is expected to fetch Rs 2,780 crore at the upper end of the price band.
The net proceeds from the new issue will be used to augment the company’s Tier-1 capital requirements.
Aptus Value Housing Finance has a strong capital sponsorship by leading investors such as Westbridge, Malabar Investments, Sequoia Capital, Steadview Capital and Madison India.
Half of the issue size is reserved for Qualified Institutional Buyers (QIBs), 35 percent for retail investors and the remaining 15 percent for non-institutional investors.
Investors can bid for a minimum of 42 equity shares and thereafter in multiples of 42 equity shares.
Since the inception of the company in 2010, the company has good asset quality with very low NPAs (Non-Performing Assets). The firm’s assets under management have grown at a CAGR of 34.54 per cent to Rs 4,067.76 crore during FY19-FY2011.
As of March 2021, loans to self-employed customers accounted for 72.05 per cent of assets under management, while the remaining 27.95 per cent was for salaried individuals.
As of March 2021, the company had a network of 190 branches serving customers in Tamil Nadu, Puducherry, Andhra Pradesh, Karnataka and Telangana.
After successfully expanding its presence in other key markets of Southern India outside its home state, Tamil Nadu, Aptus Value Housing Finance now intends to expand its branch network to larger housing markets in the states of Maharashtra, Odisha and Chhattisgarh.
ICICI Securities, Citigroup Global Markets India, Edelweiss Financial Services and Kotak Mahindra Capital Company are the investment bankers to the issue.
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