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Indiabulls Housing Finance TrancheII 2023 Details

NCD Issue Opens on 6 September 2023
NCD Issue Closes on 20 September 2023 

 

# NCD Guidance is given at the bottom of the post

About the Company:

Indiabulls Housing Finance is a non-deposit taking housing finance company (“HFC”) registered with the NHB. It is also a notified financial institution under the SARFAESI Act. It pre-dominantly offers housing loans and loans against property to its varied client base which comprises (i) salaried and employees; (ii) self-employed individuals; (iii) micro, small and medium-sized enterprises; and (iv) corporates. It focuses primarily on long-term secured mortgage-backed loans. It also offers mortgage loans to real estate developers in India in the form of lease rental discounting for commercial premises and construction finance for the construction of residential premises. A majority of its Loan Book comprises housing loans, including in the affordable housing segment. As of March 31, 2023, housing loans and non-housing loans, on standalone basis, constituted 57% and 43%, respectively, of its Loan Book. As on June 30, 2023, its Loan Book was Rs 47,483.47 crores, on a standalone basis, and as on June 30, 2023, its Loan Book was Rs 56,276.03 crores, on a consolidated basis.

It has now shifted to an asset light business model, focusing on co-lending of loans along with banks, other financial institutions and credit funds and an increased sell down of its loan portfolio.
As of June 30, 2023, it has a network of 217 branches spread across India which gives it a pan-India presence.Its presence across India allows it to undertake loan processing, appraisal, and management of customer relationships in an efficient and cost-effective manner. As of June 30, 2023, it has a direct sales team of 8,726 employees, on a consolidated basis, who are located across its network. This sales team is instrumental in sourcing the majority of its customers.
As at June 30, 2023, its consolidated borrowings (other than debt securities) were Rs 29,095.07 crores, consolidated debt securities were Rs 17,564.04 crores and consolidated subordinated liabilities were Rs 4,254.79 crores. It relies on long-term and medium-term borrowings from banks and other financial institutions, including external commercial borrowings and issuances of non-convertible debentures.

Get more details about the company @ https://www.indiabullshomeloans.com/

NCD Promoter: The Company has no identifiable promoters and is a professionally managed company.

NCD Rating
The NCDs proposed to be issued under this Issue have been rated CRISIL AA/Stable by CRISIL Ratings Limited and ICRA AA (Stable) by ICRA Limited with such ratings considered to have a stable outlook.

Indiabulls Housing Finance TrancheII NCD 2023 Detail
Issue Open September 6, 2023 – September 20, 2023
Security Name Indiabulls Housing Finance Limited
Security Type Secured, Redeemable, Non-Convertible Debentures (Secured NCDs)
Issue Size (Base) Rs 200.00 Crores
Issue Size (Shelf) Rs 2,000.00 Crores
Issue Price Rs 1000 per NCD
Face Value Rs 1000 each NCD
Minimum Lot size 10 NCD
Market Lot 1 NCD
Listing At BSE, NSE
Credit Rating “CRISIL AA/Stable” by CRISIL Ratings Limited and “[ICRA]AA (Stable)” by ICRA Limited
Tenor 24, 36, 60, 84 and120 Months
Series Series I to XII
Payment Frequency Monthly, Annual and Cumulative
Basis of Allotment First Come First Serve Basis
Debenture Trustee/s Idbi Trusteeship Services Ltd.
NCD Allocation Ratio  
Category  NCD’s Allocated
Institutional 30%
Non-Institutional 10%
Retail 30%
Category 4 30%
   
NCD’s Offered by Category
Category  NCD’s Reserved
Institutional 6,00,000
Non-Institutional 2,00,000
Retail 6,00,000
Category 4 6,00,000
Total NCD’s 20,00,000
Indiabulls Housing Finance Limited NCD Coupon Rates                  
# Series 1 Series 2 Series 3 Series 4 Series 5 Series 6 Series 7 Series 8 Series 9 Series 10 Series 11 Series 12
Frequency of Interest Payment Annual Monthly Cumulative Annual Monthly Cumulative Annual Monthly Annual Monthly Annual Monthly
Nature Secured Secured Secured Secured Secured Secured Secured Secured Secured Secured Secured Secured
Tenor 24 Months 24 Months 24 Months 36 Months 36 Months 36 Months 60 Months 60 Months 84 Months 84 Months 120 Months 120 Months
Coupon (% per Annum) 9.65% 9.25% NA 9.90% 9.48% NA 10.15% 9.71% 10.50% 10.03% 10.75% 10.25%
Effective Yield (% per Annum) 9.64% 9.64% 9.65% 9.88% 9.89% 9.90% 10.14% 10.14% 10.49% 10.49% 10.74% 10.74%
Amount on Maturity (In Rs.) Rs 1,000 Rs 1,000 Rs 1,202 Rs 1,327 Rs 1,000 Rs 1,000 Rs 1,000 Rs 1,000 Rs 1,000 Rs 1,000 Rs 1,000 Rs 1,000

Objects of the Issue
The company intends to utilize the net proceeds from the issue towards the funding of the following objects:

For the purpose of onward lending, financing, and for repayment of interest and principal of existing borrowings of the Company; and
General corporate purposes.

 

Company Financials      
Indiabulls Housing Finance TrancheII NCD July 2023 Financial Information (Restated Consolidated)
Period Ended 31-Mar-21 31-Mar-22 31-Mar-23
Assets 93,239.03 81,973.32 74,945.24
Revenue 10,030.12 8,993.90 8,725.79
Profit After Tax 1,201.59 1,177.74 1,127.68
Net Worth 16,076.03 16,616.23 17,303.42
Reserves and Surplus      
Total Borrowing      
Amount in Rs Crore

Address of the Company
Indiabulls Housing Finance Limited
5th Floor, Building No. 27,
KG Marg Connaught Place,
New Delhi – 110 001
NCD Lead Managers

Nuvama Wealth Management Limited
Elara Capital (India) Private Limited
Trust Investment Advisors Private Limited
NCD Registrar
Kfin Technologies Limited

Indiabulls Housing Finance TrancheII 2023
Red Herring Prospectus

Analysis & Guidance:
The Gross NPA and Net NPA ratios are.
1)% of Gross Non-Performing Assets (Gross NPA / Loan Book) 3.67%
2) % of Net Non-Performing Assets (Net NPA / Loan Book) 2.14%.
3)The company has shown more or less stable net profit figures during last 3 years.
4) Compared to sector PE ratio of 20.42, the scrip is available at PE multiple of 7.78, indirectly suggest not so fancy for its shares.
5) Since the company is offering higher coupen rates, relatively small investment in this NCD may be done.

Indiabulls Housing Finance TrancheII 2023
Subscription Status 
On 12.09.2023 @ 5.00 pm
Category Subscription 
Institutional 0.08 T
Non-Institutional 0.00 T
HNI 0.00 T
Retail 0.00 T
Total 0.61 T

Indiabulls Housing Finance TrancheII 2023

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