The transaction, executed through a structured deal over three times investor demand.
Roha Housing Finance, the housing arm of Roha group has raised Rs 400 crore from alternative credit investors through a structured private credit transaction at one of promoter owned vehicle. Alternative credit investors including ICICI Prudential corporate credit opportunities fund, Nippon India credit opportunities fund , and ASK Alternate private credit fund participated in the transaction.
The funds being used to infuse in their housing finance company, Roha Housing Finance in the form of CCD and CCPS, to scale assets under management nearly fourfold to around Rs 5,000 crore over the next few years from about Rs 1,250 crore, according to people familiar with the matter. Both CCDs and CCPS are equity instruments at the operating company level and are used to shore up capital, the source said.
The transaction, executed through a structured deal over three times investor demand. "Debt is raised at the promoter company level from credit funds, which remain pure lenders with fixed returns and no equity upside," a source said. "These three lenders do not convert into equity at any stage."
Designed with a low running coupon and a redemption premium, the structure balances investor return expectations with the company’s expansion needs. The investment is set to mature in early 2029, aligning with the Group’s roadmap to access public markets for future growth within its financial services portfolio.
CCDs qualify as Tier II capital, while CCPS qualify as Tier I capital, improving capital adequacy. Promoter shareholding remains 100% both before and after conversion unless there is a future third-party equity dilution.
The capital raise allows the housing finance company to grow its assets under management (AUM) from Rs 1,250 crore to around Rs 5,000 crore over the next few yearsBacked by the Roha Group’s five-decade-plus operating legacy, Roha Housing Finance draws on the Group’s deep experience in building and scaling regulated businesses across global markets.
Established in 1972 with the founding of Roha Dyechem, the Group has grown into a global player in food colours and dried ingredients “The strong response from reputed institutional investors validates our approach in building Roha Housing Finance into a scaled, responsible and institutionally strong housing finance platform for India’s evolving middle-income segment,” said Mahesh Tibrewala, Managing Director, Roha Group.
Launched in 2017, Roha Housing Finance is the stated by Mahesh Tibrewala, marking the Roha Group’s strategic entry into the housing finance sector. RHFPL, led by Sunil Kapoor who is the MD & CEO the company is focusing in the affordable housing segment. Following the infusion, net worth is expected to rise to around Rs 700 crore by March end, providing sufficient capital headroom for next few years of growth. Gaurav Pradhan Co-founder of Energia wellbeing and Rahul Bahety Founder of Prudenthill Advisors LLP, jointly acted as advisors to the transaction.
The funds being used to infuse in their housing finance company, Roha Housing Finance in the form of CCD and CCPS, to scale assets under management nearly fourfold to around Rs 5,000 crore over the next few years from about Rs 1,250 crore, according to people familiar with the matter. Both CCDs and CCPS are equity instruments at the operating company level and are used to shore up capital, the source said.
The transaction, executed through a structured deal over three times investor demand. "Debt is raised at the promoter company level from credit funds, which remain pure lenders with fixed returns and no equity upside," a source said. "These three lenders do not convert into equity at any stage."
Designed with a low running coupon and a redemption premium, the structure balances investor return expectations with the company’s expansion needs. The investment is set to mature in early 2029, aligning with the Group’s roadmap to access public markets for future growth within its financial services portfolio.
CCDs qualify as Tier II capital, while CCPS qualify as Tier I capital, improving capital adequacy. Promoter shareholding remains 100% both before and after conversion unless there is a future third-party equity dilution.
The capital raise allows the housing finance company to grow its assets under management (AUM) from Rs 1,250 crore to around Rs 5,000 crore over the next few yearsBacked by the Roha Group’s five-decade-plus operating legacy, Roha Housing Finance draws on the Group’s deep experience in building and scaling regulated businesses across global markets.
Established in 1972 with the founding of Roha Dyechem, the Group has grown into a global player in food colours and dried ingredients “The strong response from reputed institutional investors validates our approach in building Roha Housing Finance into a scaled, responsible and institutionally strong housing finance platform for India’s evolving middle-income segment,” said Mahesh Tibrewala, Managing Director, Roha Group.
Launched in 2017, Roha Housing Finance is the stated by Mahesh Tibrewala, marking the Roha Group’s strategic entry into the housing finance sector. RHFPL, led by Sunil Kapoor who is the MD & CEO the company is focusing in the affordable housing segment. Following the infusion, net worth is expected to rise to around Rs 700 crore by March end, providing sufficient capital headroom for next few years of growth. Gaurav Pradhan Co-founder of Energia wellbeing and Rahul Bahety Founder of Prudenthill Advisors LLP, jointly acted as advisors to the transaction.
