The Securities and Exchange Board of India (SEBI) has approved Truhome Finance's proposed initial public offering on Friday, June 5, 2026. According to the draft red herring prospectus (DRHP), the housing finance company plans to raise ₹3,000 crore through the IPO, comprising a fresh issue of shares worth up to ₹1,500 crore and an offer for sale (OFS) of up to ₹1,500 crore by promoter Mango Crest Investment Ltd, an affiliate of private equity investor Warburg Pincus. The company had filed its draft papers with SEBI on March 9, 2026, and received the market regulator's observations during the week ended June 1, 2026, clearing the way for the public issue.
Truhome Finance, formerly known as Shriram Housing Finance, was rebranded in December 2024 following its acquisition by Warburg Pincus. The company provides housing finance solutions and is focused on affordable and mid-income home loan segments. As reported by CNBC TV18, the company may also consider a pre-IPO placement of up to ₹300 crore, which, if completed, would reduce the size of the fresh issue. The company offers a comprehensive suite of secured lending products including housing loans, loans against property and other related offerings, with an average ticket size of ₹2.13 million as of December 31, 2025. Founded in 2010, it is the fastest growing affordable housing finance company in India in terms of AUM CAGR over FY25, FY24 and FY23 (being 48.58%), having the highest AUM per branch of ₹107.23 crores as of December 31, 2025.
The IPO will be managed by JM Financial, IIFL Capital Services, Jefferies India and Kotak Mahindra Capital Company as the book-running lead managers. According to the DRHP, the equity shares are proposed to be listed on both the NSE and BSE. The PFS by promoter selling shareholder, Mango Crest Investment Ltd, comprises equity shares of face value of ₹10 each aggregating up to ₹1,500 crore. The company's rebranding and acquisition by Warburg Pincus represent a significant strategic shift in the housing finance sector, positioning the company for its stock market debut.
The net proceeds from the fresh issue are proposed to be utilised towards augmenting the company's capital base to meet future capital requirements, including onward lending and general corporate purposes. As reported by Essential Business Intelligence, the funds will support compliance with capital adequacy requirements prescribed by the Reserve Bank of India (RBI). The company plans to deploy the net proceeds over FY27 and FY28 to support business growth and lending operations. The IPO represents a significant milestone for Truhome Finance as it positions itself for enhanced capital base and regulatory compliance while maintaining its focus on affordable housing finance.
