Aspire Home Finance, a subsidiary of Motilal Oswal Financial Services, is looking to raise around Rs 500 crore to increase its loan book size with a valuation of Rs 4,100 crore. The company is in the advanced stage of talk with a large private equity firm.
The raised capital would help Aspire grow its loan book for next two years. This home finance company (HFC) has no exposure to loan against property and developer loans and its non-performing assets are at 0.3 per cent at the end of the last financial year. The company is expecting to from 50 to 60 per cent on a yearly basis.
In the recent developments, Aspire is ready to expand to 40 centres with a net worth of Rs 650 crore. The average loan size of the book is Rs 9.5 lakh. As the government is focused on affordable housing, the investors have been keen to invest or even buyout.
Source: ET Realty