On April, the seventh and the largest round of capital infusion so far by Bajaj Finance to fund the housing finance company’s future growth was received, according to a release
Pune-based Bajaj Housing Finance Ltd on Tuesday commented that it has received Rs 2,500 crore of equity capital from Bajaj Finance, its parent company. The capital infusion took place on April 7, is the seventh and the largest round of capital infusion so far by Bajaj Finance to fund the housing finance company’s future growth, according to a release.
In a statement, Bajaj Housing Finance’s Chief Executive Officer Atul Jain said. “This infusion will be sufficient to meet our capital requirements for the next 18-24 months. The company remains committed to continuing its momentum, and this infusion would enable it to expand its geo footprint as well as its distribution network across its business lines for growth,”
As of March 31, 2022, the mortgage financier’s capital adequacy ratio (CRAR) stood at 19.72 percent against a regulatory requirement of 15 percent. With this round of capital infusion, its CRAR will be in excess of 27 percent, the release said.
Its capital base stands strong in excess of Rs 9,200 crore.
This round of capital infusion is to ensure that Bajaj Finance continues to maintain its growth trajectory by providing equity capital on one hand as well as raising debt for growth on the other.
The company plans to invest in people, geo-expansion, process improvement, and technology to help deliver its growth plans.
The housing finance company offers finance to individuals and corporate entities for the purchase and renovation of homes, or commercial spaces.
It also provides loans against property for business or personal needs as well as working capital for business expansion purposes. It also offers to finance to builders and developers engaged in the construction of homes.