Sebi has approved an initial public offer (IPO) of PNB Housing Finance to raise Rs 2,500 crore. The IPO papers were filed with Sebi in July.
PNB Housing Finance, promoted by Punjab National Bank, would be using the proceeds from the share sale mainly towards augmenting its capital base. 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, according to the DRHP.
The company 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.
For the year ended 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.