India’s leading housing firm PNB has received a nod from capital markets regulator Sebi’s to raise Rs 2,500 crore through an Initial Public Offering (IPO).
PNB’s housing finance had filed IPO papers with Sebi in July this year. The markets regulator issued its final ‘observations’ on October 6 on the draft offer documents, which is necessary for any company to launch the public offer.
PNB Housing Finance, promoted by Punjab National Bank, would be using this approval from the share sale mainly towards augmenting its capital base.
At the year end in March 2016, PNB Housing Finance reported a profit after tax of Rs 327.57 crore while revenue from operations stood at Rs 2,699.54 crore in the same period.
According to the Draft Red Herring Prospectus (DRHP),at the end of March 2016, “PNB had 51 per cent stake in the company. Post IPO, it would continue to hold approximately 35-37 per cent of the issued and paid-up share capital”.
PNB housing finance plans to grow business and loan portfolio by consolidating position in key geographies as well as by expanding into specific target markets such as the affordable housing segment.
