Indiabulls Housing raises Rs 220 crore via OakNorth Bank stake sell
Indiabulls Housing Finance has sold further stake in OakNorth Bank Holdings (the wholly owning parent company of OakNorth Bank) and raised Rs 220 crore from the transaction.
The sale proceeds will be accretive to the regulatory net worth and the CRAR of the mortgage lender.
With the latest stake sale, it has now raised a total of Rs 2,493 crore as fresh equity in September and October 2020, which includes Rs 683 crore through qualified institutional placement and Rs 1,810 crore through sale of stake in OakNorth. All the funds raised will add to its regulatory equity capital.
Indiabulls Housing Finance’s primary business activities are to carry on business of investing and finance related activities (investing in various subsidiaries, financing of loans and credit activities) and fee income, which mainly consists of financial service related fee income from services, selling of insurance products as a licensed corporate agent, and other related ancillary services.
The housing finance company’s consolidated net profit tumbled 65.5% to Rs 272.84 crore on 33.7% drop in total income to Rs 2,578.23 crore in Q1 June 2020 over Q1 June 2019.
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