Mumbai-based affordable housing finance company Home First Finance Company India Ltd announced on Tuesday (August 18) that it will consider raising up to ₹150 crore through Non-Convertible Debentures (NCDs) at a meeting of its Committee of Directors and Review Committee scheduled for Friday, August 21, 2026. According to reports from CNBC TV18, the proposed issue comprises senior, secured, rated, listed, taxable, redeemable, transferable and non-convertible debentures, which will be issued in one or more tranches through private placement. The company has notified both BSE and NSE under Regulation 29 and Regulation 50 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, with the issuance terms complying with Section 42 and Section 71 of the Companies Act, 2013.
The proposed fundraising follows the approval granted by the company's Board of Directors to raise funds through the issuance of NCDs on a private placement basis, with the board approval communicated in May 2026. As reported by CNBC TV18, in July this year, Home First Finance said it expects its assets under management (AUM) growth to exceed 25% in the financial year 2026-27 (FY27) if current demand trends continue. Managing Director and CEO Manoj Viswanathan stated that demand has remained strong since October last year, while investments in distribution and team expansion have helped the company capitalise on the improving market.
In the June quarter, Home First Finance reported a 25.7% year-on-year increase in AUM and 31% growth in disbursements, according to CNBC TV18. Viswanathan attributed the performance to sustained customer demand and investments made over the past year to strengthen the company's distribution network. The company also reported lower repayments as balance transfer activity declined, with Viswanathan noting that Home First Finance introduced measures over the past 12 to 18 months to reduce loan transfers to competing lenders, helping bring balance transfer rates below their usual range.
Regarding asset quality, Viswanathan stated that the sequential movement in Stage 3 provision coverage ratio (PCR) was marginal and did not indicate any change in the company's credit profile, as reported by CNBC TV18. Home First Finance expects to maintain the ratio in the 25-27% range. Shares of Home First Finance Company India Ltd ended at ₹1,181.40, up by ₹2.50, or 0.21%, on the BSE on the day of the announcement.
