In May 2021, the company had announced the execution of definitive transaction document to divest its mutual fund business to Nextbillion Technology, part of Groww Group, for about Rs 175 crore.

The company along with its wholly owned subsidiary companies Indiabulls Asset Management Company (IAMCL) and Indiabulls Trustee Company, Trustee of IAMCL, (ITCL) had executed definitive transaction document with Groww, to divest its entire stake in mutual fund business, which is being carried out by IAMCL & ITCL.

Indiabulls Housing had stated that it has decided to focus on its real estate asset management business through AIF structures in line with its asset-light strategy. The real estate asset management business is complementary to the core business of the company.

The company plans to grow this business in partnership with global player(s). The mutual fund business does not remain a core focus area for Indiabulls Housing Finance. Therefore, the company has decided to focus management bandwidth and consolidate capital towards its core lending business and divest out of the mutual fund business.

With reference to the above, Indiabulls Housing has now announced the receipt of all the necessary approvals for the conclusion of the aforementioned transaction.

"The closing date for the transaction is 3 May 2023 and the company does not have any control or shareholding in IAMCL and ITCL subsequent to the closing date,” the housing finance company said in a statement.

For the reporting period ending 31 December 2022, on a consolidated basis, the company had a balance sheet size of Rs 74,106 crore and net worth of Rs 17,269 crore. The company's net gearing, on a consolidated basis, was very moderate at 2.3x times, with capital adequacy of 33.8%.

The company's ALM is fully matched and its liquidity coverage ratio [LCR] stood at 246%. The company has long-term credit rating of AA from CRISIL, an S&P Global Company; ICRA, a Moody's Investors Service Company; and CARE.

“The company has transformed to an asset-light, loan origination engine from its erstwhile capital-intensive lending model. It is the third-largest originator of retail mortgage loans amongst Indian non-banks, disbursing loans through co-lending arrangements with 8 partner banks, and selling down loans to over 20 financial institutions,” Indiabulls Housing added.

Indiabulls Housing Finance is a housing finance company, regulated by the National Housing Bank (NHB). The company offers competitively priced home loans in the affordable housing segment.

The company had reported 4% fall in consolidated net profit to Rs 291 crore despite a 3% rise in total income to Rs 2340 crore in Q3 FY23 over Q3 FY22.

The scrip rose 0.66% to currently trade at Rs 113.80 on the BSE.