A consortium led by Carlyle Group Inc has agreed to acquire a 73% stake in India’s Nido Home Finance Ltd for approximately INR21bn ($232m), according to a report by Bloomberg.
The investor group, backed by Carlyle Asia Partners, will purchase an initial 45% stake from Edelweiss Financial Services Ltd for around INR6bn. Carlyle will subsequently increase its holding through a primary capital infusion of INR15bn.
Shares in Edelweiss rose as much as 11% intraday following the announcement on Tuesday, and closed 9.2% higher in Mumbai trading. Nido provides home loans across India, with a branch network covering more than 800 sub-districts. Carlyle said the investment reflects its conviction in the long-term growth of India’s housing finance market.
The transaction remains subject to regulatory approvals. AZB & Partners advised Edelweiss, while Trilegal acted for Carlyle.
