Aditya Birla Capital Limited (ABCL) has announced a capital infusion of Rs 249 crore into its wholly owned subsidiary, Aditya Birla Housing Finance Limited (ABHFL), through a rights issue.
This strategic investment aims to support ABHFL’s growth initiatives and enhance its leverage ratio, while maintaining ABCL’s full ownership of the housing finance company.
This latest infusion follows a previous Rs 300 crore investment into ABHFL, also via a rights issue, underscoring ABCL’s ongoing commitment to strengthening its housing finance arm and supporting its expansion plans. The additional capital will enable ABHFL to pursue new growth opportunities, expand its lending portfolio, and enhance its ability to serve a wider customer base.
In addition to the capital infusion into ABHFL, ABCL’s board has approved raising up to Rs 1,65,000 crore through the issuance of debt securities, including non-convertible debentures, to further support its funding requirements and future growth initiatives. This substantial fundraising plan highlights the company’s proactive approach to capital management and its readiness to seize emerging opportunities in the market.
As of March 31, 2025, ABCL’s lending portfolio, encompassing both its non-banking financial company (NBFC) and housing finance operations, expanded by 27 per cent year-on-year to reach Rs 1,57,404 crore. Meanwhile, total assets under management across asset management, life insurance, and health insurance businesses increased by 17 per cent to Rs 5,11,260 crore. The group’s insurance arms also saw a 22 per cent year-on-year rise in total premiums collected, amounting to Rs 25,579 crore in the financial year 2024-25.
This strategic investment in ABHFL demonstrates Aditya Birla Capital’s focus on supporting subsidiary growth and maintaining financial stability. By strengthening the capital structure of its housing finance arm, ABCL is well-positioned to capitalize on the growing demand for home loans and related financial services, reinforcing its leadership in India’s financial sector.
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