EQT Buys Indian Home-Finance Provider for $209 Million

By Dominic Chopping

STOCKHOLM--EQT will acquire Indian affordable-housing finance company IndoStar Home Finance from IndoStar Capital Finance for 17.5 billion Indian rupees (209.3 million).

The Swedish buyout group said late Thursday that it will also invest 5 billion rupees to support IndoStar Home's continued growth, which includes broadening its footprint across India and investing in digital capabilities.

Founded in 2017, IndoStar Home provides affordable mortgages to retail customers in India and has supported more than 39,000 low-income homeowners and small businesses. It has more than 24 billion rupees in assets under management and operates a network of more than 130 branches spread across nine states, employing more than 1,000 people.

"Retail lending is a key investment theme for EQT within financial services in India," said Ashish Agrawal, partner in the EQT Private Capital Asia advisory team.

"India's affordable-housing finance sector represents a long-term growth opportunity supported by secular demand drivers, favorable government policies and resilient asset quality across economic cycles," he added.

The deal is subject to regulatory approvals.

Write to Dominic Chopping at dominic.chopping@wsj.com

(END) Dow Jones Newswires

September 20, 2024 04:09 ET (08:09 GMT)

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