India Shelter Finance Secures Rs 360 Crore from Anchor Investors Prior to IPO Launch

Representative image

India Shelter Finance, a leading affordable housing finance company, announced on Tuesday that it has successfully raised Rs 360 crore from anchor investors ahead of its Initial Public Offering (IPO).

Allotment of Equity Shares

The company allotted 73.02 lakh equity shares to 38 funds at a price of Rs 493 per share, which is the upper end of the price band. This allotment resulted in the company garnering Rs 360 crore from these anchor investors.

Anchor Investors

Among the notable anchor investors who participated in this pre-IPO placement are Goldman Sachs Funds, ICICI Prudential Mutual Fund, Kotak Mahindra MF, UTI MF, Nippon India MF, Quant MF, Edelweiss MF, Bandhan MF, Tata MF, ICICI Prudential Life Insurance Company Ltd, SBI Life Insurance Co Ltd, and Max Life Insurance Company.

IPO Details

The company's maiden public issue will open for subscription from December 13 to 15, with a price band set at Rs 469-493 per share. The IPO comprises a fresh issue of equity shares worth Rs 800 crore and an Offer For Sale (OFS) of Rs 400 crore by investor shareholders.

Offer For Sale (OFS)

The OFS will involve the sale of shares by existing investors, including Catalyst Trusteeship Ltd, Madison India Opportunities IV, MIO Starrock, Nexus Ventures III Ltd, and Nexus Opportunity Fund II Ltd.

Utilization of Proceeds

The proceeds from the fresh issue will be primarily used to meet future capital requirements for onward lending and for general corporate purposes.

Company Profile

India Shelter Finance is a retail-focused affordable housing finance company backed by Westbridge Capital and Nexus Venture Partners. The company has an extensive distribution network and technology infrastructure, catering to self-employed customers, particularly first-time home loan takers in the low and middle-income groups residing in Tier-II and Tier-III cities across India.

Book-Running Lead Managers

The IPO is being managed by a syndicate of book-running lead managers, including ICICI Securities, Citigroup Global Markets India, Kotak Mahindra Capital Company, and Ambit.