HDFC to sell 10% stake in HDFC Capital to ADIA

New Delhi, 20/4: Housing Development Finance Corporation Limited, (HDFC Ltd), has agreed to sell 10 per cent of its stake in its wholly-owned subsidiary HDFC Capital Advisors Ltd (HCAL), to a wholly-owned subsidiary of Abu Dhabi Investment Authority (ADIA) for Rs 184 crore. The divestment is likely to take effect by April 30, 2022, HDFC Ltd stated in a regulatory filing.

 

 

HCAL manages investment funds focused on the real estate sector and provides flexible funding across affordable and mid-income housing projects. ADIA is also the primary investor in the alternative investment funds managed by HCAL.

 

“Six years ago, we set up HDFC Capital with a vision of progressing in sync with the government’s ‘Housing For All’ goal by increasing the supply of affordable homes in India. Supported by marquee global investors like ADIA, the funds managed by HDFC Capital have grown to create one of the world’s largest private financing platforms for the development of affordable housing,” HDFC Limited Chairman Deepak Parekh said in a press statement.

 

This investment by ADIA will enable HDFC Capital to leverage ADIA’s global expertise and experience to further propel HDFC Capital towards becoming a leading investment platform for global and local investors across multiple strategies and asset classes in real estate and technology ecosystem, Parekh added.