Aavas Financiers Ipo is a company engaged in the business of providing retail, affordable housing finance and is all set to make a debut in the stock market with an issue size of 1734.07 Cr.
Aavas Financiers Ipo – Overview
| Issue Date | 25-27 Sept 2018 |
| IPO Opening Date | 25 Sept 2018 |
| IPO Face Value | INR 10 per share |
| IPO Price | INR 821 per share |
| IPO Lot Size | 18 Shares |
| Issue Size | 1734.07 Cr |
| Offer for sale | – |
| Issue Type | Book built Issue IPO |
| Listing At | BSE, NSE |
| QIB Shares Offered | 2.77 times |
| NII (HNI) Shares | 0.26 times |
| Company Promoters | The Promoters of the Company are Lake District and ESCL. They currently hold 35,261,756 Equity Shares, equivalent to 49.84% and 17,127,627 Equity Shares equivalent to 24.21% of the pre-Offer issued, subscribed and paid-up Equity Share capital of the Company. |
Important Dates
| Aavas Financiers Ipo opening date | 25 Sept 2018 |
| Aavas Financiers Ipo closing date | 27 Sept 2018 |
| Basis of Allotment | 3 Oct 2018 |
| Initiation of Refunds | 4 Oct 2018 |
| The credit of Shares to Demat | 5 Oct 2018 |
| Aavas Financiers Ipo Listing Date | 8 Oct 2018 |
Industry Overview
HFCs are largely dependent on in-house sales teams and direct sales agents for sourcing the loans. Walk-ins are a minuscule proportion of the overall sourcing mix for all HFC categories. Further, most of the sourcing within the affordable segment is through dedicated in-house sales teams. In some cases, HFCs depend on referrals from connectors who are intermediaries in the value chain such as brokers, lawyers, and hardware and cement shop owners among others.
Company Overview
It is engaged in the business of providing retail, affordable housing finance to low- and middle-income self-employed customers in semi-urban and rural areas in India. The Company is registered with the NHB as an HFC.
IT had the lowest GNPAs as of March 31, 2018, and the second highest growth rate of AUM for the last three financial years, among affordable housing finance companies with AUM between Rs 25 billion and Rs 200 billion.
Aavas Financiers Ipo -Objectives
- The Offer comprises a Fresh Issue by the Company and an Offer for Sale by the Shareholders.
- The proceeds of the Offer for Sale will go to selling shareholders after deducting their portion of the Offer-related expenses and relevant taxes thereon. The company will not receive anything from the proceeds of the offer for sale.
- The Net Proceeds of the Fresh Issue will be utilized towards augmenting the company’s capital base to meet the future capital requirements arising out of growth in the business.
Financial Statements
Aavas Financiers Ipo- Strengths
- Deep penetration in underserved rural and semi-urban markets.
- In-house customer sourcing models ensure optimal pricing and good asset quality.
- Robust Credit Assessment, Risk Management, and Collections Framework.
- Access to cost-effective long-term financing.
- Higher cost and management efficiencies owing to the adoption of technology and analytics.
Summary of financial Information
| Particulars | For the year/period ended (in Rs. Millions) 31-Mar-18 |
| Total Assets | 38,174.01 |
| Total Revenue | 4,572.71 |
| Profit After Tax | 928.75 |
Company Contact Information
Aavas Financiers Limited
201-202, 2nd Floor,
South End Square, Mansarover Industrial Area
Jaipur 302 020, Rajasthan,
Phone: +91 14 1661 8800
Email: ipo@aavas.in
Website: http://www.aavas.in/
Aavas Financiers IPO Registrar
Link Intime India Private Ltd
Phone: +91-22-4918 6270
Email: aavas.ipo@linkintime.co.in
Website: https://linkintime.co.in/
Lead Manager(s)
- Citigroup Global Markets India Private Limited (Past IPO Performance)
- Edelweiss Financial Services Ltd (Past IPO Performance)
- HDFC Bank Limited (Past IPO Performance)
- ICICI Securities Limited (Past IPO Performance)
- Spark Capital Advisors (India) Private Limited (Past IPO Performance)
