Aditya Birla Capital Injects Rs 249 Cr Into Housing Finance Arm

By Admin

31 May, 2025

Aditya Birla Capital Ltd (ABCL), the financial services arm of the Aditya Birla Group, has made a fresh capital infusion of ₹249 crore into its wholly owned subsidiary, Aditya Birla Housing Finance Ltd (ABHFL). The investment, carried out through a rights issue, aims to support ABHFL’s ongoing business expansion and enhance its leverage ratio, as per a filing with the stock exchange on Friday.

This latest round of funding follows a previous capital infusion of ₹300 crore through a similar rights issue. With this move, ABCL has reaffirmed its commitment to the housing finance segment while maintaining its 100% ownership of ABHFL.

Despite facing some headwinds, ABCL continues to build a robust financial portfolio. The company, a non-deposit-taking Non-Banking Financial Company (NBFC), reported a consolidated net profit of ₹865 crore for the quarter ending 31 March 2025 a decline of over 30% from ₹1,245.41 crore in the same quarter last year. However, its total income witnessed a steady rise, growing to ₹12,239 crore from ₹10,803 crore year-on-year.

In another key development, ABCL’s board has greenlit a significant fundraising plan of up to ₹1,65,000 crore through the issuance of debt securities, including non-convertible debentures. This move is poised to enhance the company’s financial flexibility and support further strategic initiatives.

As of 31 March 2025, the company’s total lending portfolio, which includes both NBFC and housing finance operations, saw an impressive 27% year-on-year growth, reaching ₹1,57,404 crore. Moreover, ABCL’s total assets under management (AUM) across its asset management, life insurance, and health insurance verticals rose by 17% to ₹5,11,260 crore. The company also reported a 22% increase in total premiums collected by its insurance arms, amounting to ₹25,579 crore for FY 2024–25.

These figures underscore ABCL’s solid foundation and strategic focus on sustained growth across its core financial services segments. The fresh capital injection into ABHFL further cements its vision of delivering inclusive financial solutions, especially in the housing finance sector, while strengthening its operational resilience and growth trajectory.