Indiabulls Housing Finance (IHF) on Friday said it had sold an additional stake in OakNorth Holdings for Rs 220 crore following an earlier sale that fetched it Rs 1,810 crore.
The mortgage lender had also mopped up Rs 683 crore through a qualified institutional placement (QIP). With the latest stake sale, it has raised a total of Rs 2,493 crore as fresh capital in September and October.
After these transactions, IHF holds a stake of close to 3% in OakNorth Holdings. The proceeds of the stake sale will be used for strengthening the capital adequacy ratio and redeeming bonds, which are due to mature this year. The capital adequacy ratio of the lender stood at 27.94% at the end of June quarter.
“We have sold around 13% stake in OakNorth Holdings for Rs 1,810 crore,” a spokesperson for the company said. The lender does not intend to dilute its stake in OakNorth any further, FE has learned.
On July 29, IHF had taken shareholders’ approval to raise around Rs 2,200 crore ($300 million) either by issuing securities through a QIP or via foreign currency convertible bonds (FCCBs) during the course of the next one year.
The company has issued bonds worth Rs 2,780 crore in the current fiscal.
The housing finance company posted a 65.5% year-on-year decline in net profit to Rs 272.84 crore in the June quarter. The net interest income (NII) declined 28.7% year-on-year to Rs 701 crore. On Friday, the IHF stock stock closed 0.33% down at Rs 151 per share on the BSE.
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