After raising £220 million through a combination of institutional offers and stake sales in its business arms in the September quarter, Indiabulls Housing Finance said it raised another £44.1 million through part-sale of its stake in the UK-based bank OakNorth. It is also planning another institutional placement in the current quarter to further bolster its reserves, sources said.
Indiabulls Housing has further sold a portion of its stake in OakNorth Holding, the wholly-owning parent company of OakNorth Bank to Riva Capital Partners V of the US, the company said. “The sale proceeds will be accretive to the regulatory net worth” and the capital adequacy ratio, it said.
With the latest stake sale, Indiabulls Housing has raised a total of £227.3 million as fresh equity during September and October this year, adding to the regulatory equity capital of the company. “Indiabulls Housing in its category of AA/AA+ rated housing finance/NBFCs is at the top position for both raising bonds and fresh equity in the current fiscal,” it said. During FY21, it has already raised £278 million through bonds.
Of late, banks and NBFCs have been on a capital-raising spree, anticipating higher levels of defaults once the economy opens up and the moratorium ends, analysts have said.
