Truhome Finance Seeks to Raise Rs 3,000 Crore through IPO

Truhome Finance, a company specialising in affordable housing finance, has submitted its Draft Red Herring Prospectus (DRHP) to the Securities and Exchange Board of India in a bid to raise Rs 3,000 crore through an initial public offering. This IPO includes a new issuance of equity shares to the tune of Rs 1,500 crore and an offer for sale (OFS) amounting to Rs 1,500 crore from its promoter, Mango Crest Investment Limited.

Use of Proceeds from the IPO

The funds garnered from the new share issue will strengthen Truhome Finance’s capital base, facilitate upcoming lending activities, and ensure compliance with regulatory capital requirements.

Company Background

Previously identified as Shriram Housing Finance Limited, Truhome Finance was acquired in December 2024 by the international private equity firm Warburg Pincus. Established in 2010, Truhome Finance is dedicated to providing affordable housing loans alongside various secured lending products, including loans against property.

Asset Management and Portfolio Composition

As of December 31, 2025, the company reported assets under management (AUM) totalling Rs 21,124 crore. Housing loans represent approximately 57.37% of the overall portfolio, followed closely by loans against property at 39.22%.

Extensive Distribution Network

Truhome Finance operates through an extensive distribution network, comprising 216 branches situated across 19 states and union territories. Its sourcing network involves over 3,000 internal sales staff, 6,600 connectors, and 821 direct selling agents.

Financial Performance

For the nine months concluding in December 2025, Truhome Finance reported a profit after tax of Rs 333.53 crore. The gross stage-3 assets were noted at 1.60%, while net stage-3 assets stood at 1.09% during the same timeframe.

Leadership Team

Recently, the company has welcomed former State Bank of India chairman Dinesh Kumar Khara as its chairperson. The leadership is further enhanced by managing director and CEO Ravi Subramanian.

Book-Running Lead Managers

The book-running lead managers for this public issue include JM Financial, IIFL Capital Services, Jefferies India, and Kotak Mahindra Capital.