Aditya Birla Housing Finance raises Rs 2,750 crore of growth capital from Advent International

The Boards of Directors of Aditya Birla Capital and Aditya Birla Housing Finance approved a proposal for a primary capital infusion of Rs 2,750 crore in ABHFL from Indriya, one of the entities of Advent International. The completion of the transaction is subject to shareholder, regulatory approvals and other customary conditions.

The transaction values ABHFL at Rs 19,250 crore, on a post-money basis. Upon completion of the transaction, ABCL will hold about 85.7% and Advent will hold about 14.3% stake in ABHFL, according to a release.

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ABHFL is one of the fastest-growing housing finance companies in India and is among the top 3 players in terms of incremental loan book growth. The AUM of ABHFL grew by a CAGR of 48% over the last three years to Rs 42,204 crore as of December 31, 2025. It has maintained best-in-class asset quality with a gross stage 3 ratio of 0.54% and a net stage 3 ratio of 0.23%. ABHFL plans to utilise the capital to sustain the current growth momentum and increase market share.

“India’s housing sector is at a defining inflection point, driven by progressive policy initiatives such as the Pradhan Mantri Awas Yojana, a sustained thrust on affordable urban housing, and the expanding reach of urban and rural infrastructure. These reforms have broadened housing demand across diverse income segments and geographies,” said Kumar Mangalam Birla, Chairman, Aditya Birla Group.

“Structured, transparent, and accessible housing finance will play a pivotal role in unlocking the next phase of large-scale growth. The proposed capital infusion will strengthen ABHFL’s financial foundation, enable deeper market penetration, and enhance its ability to shape India’s inclusive and sustainable housing finance ecosystem,” Kumar Mangalam added.

“Over the last few years, we have significantly scaled our businesses, and at ABHFL, we have built a full-stack housing finance franchise with a strong focus on prime and affordable segments and construction finance. Today, ABHFL has a pan-India distribution footprint with a robust omnichannel sourcing network. This growth has been anchored in large market opportunities and sustained investments in technology, digital platforms, distribution, and talent enabling a scalable and resilient operating model. With this proposed capital raise, we enter the next phase of expansion for our housing finance business with a clear focus on sustaining growth momentum and increasing market share,” said Vishakha Mulye, MD & CEO, Aditya Birla Capital.

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"We are excited to partner once again with the Aditya Birla Group through our investment in Aditya Birla Housing. India's mortgage market is benefiting from strong structural tailwinds, led by supportive government initiatives and a constructive regulatory framework. Against this backdrop, Aditya Birla Housing has built a high-quality, trusted franchise with strong risk practices and governance standards that are synonymous with Aditya Birla Group companies. We have strong conviction in the leadership team and are delighted to support them as the Company enters its next phase of growth,” said Shweta Jalan, Managing Partner at Advent International.

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