Warburg Pincus-backed Truhome Finance files Rs 3,000-cr IPO papers

New Delhi, Mar 9 (PTI) Private equity major Warburg Pincus-backed Truhome Finance on Monday filed preliminary papers with the market regulator Sebi to mobilise Rs 3,000 crore through an initial public offering (IPO).

The housing finance company's IPO comprises a fresh issue of equity shares aggregating to Rs 1,500 crore and an offer for sale (OFS) of equity shares worth 1,500 crore by promoter Mango Crest Investment Ltd, according to the draft red herring prospectus (DRHP).

The company plans to utilise proceeds from the fresh issue towards augmenting its capital base to meet future capital requirements, including onward lending and general corporate purposes, as well as ensuring compliance with capital adequacy norms prescribed by the Reserve Bank of India (RBI).

The proceeds are expected to be deployed over the financial years ending March 31, 2027, and March 31, 2028, the draft papers noted.

Founded in 2010, Truhome Finance is a retail-focused affordable housing finance company. The company was formerly known as Shriram Housing Finance, a subsidiary of Shriram Finance, and was acquired in December 2024 by New York-based global private equity firm Warburg Pincus.

The company offers a range of lending products, including housing loans, loans against property and related offerings, with an average ticket size of Rs 2.13 million as on December 31, 2025.

It caters to customers through a pan-India distribution network of 216 branches across metropolitan, as well as Tier I, Tier II and Tier III cities in 19 states and Union Territories.

Three states -- Maharashtra, Gujarat and Tamil Nadu -- together accounted for nearly 50 per cent of its assets under management (AUM) as of December 31, 2025.

Truhome Finance is the third-largest affordable housing finance company in the country by AUM as of December 31, 2025, with a total asset base of over Rs 21,124 crore.

On the financial front, the housing finance company reported a total income of Rs 1,905.48 crore and a profit after tax of Rs 286.24 crore.

Recently, Truhome Finance appointed former State Bank of India (SBI) Chairman Dinesh Kumar Khara as its chairperson for a five-year term. The management team is led by Managing Director and CEO Ravi Subramanian, who has over 30 years of experience in financial services and has been associated with the Shriram Group since 2010.

JM Financial, IIFL Capital Services (formerly IIFL Securities), Jefferies India and Kotak Mahindra Capital Company are the book-running lead managers to the issue. PTI SP BAL BAL