Dewan Housing Finance Corporation Ltd (DHFL) ,one of India’s leading housing finance companies, has raised $194 Mn from Oaktree Capital Management, L.P. , a leading global alternative investment management firm.
Bengaluru, 29 Jan, 2019. RedNewswire/-
The transaction is structured using RBI’s Securitization Guidelines and involves securitization of wholesale real estate project finance loans with security over a near-complete residential project in Mumbai.
Mumbai-based DHFL was established to enable access to affordable housing finance to the lower and middle income groups in semi-urban and rural parts of India.
Kapil Wadhawan, chairman and managing director, DHFL said “We recently committed to expeditiously bring down our project finance exposure. Within less than 2 months of making the above commitment, Company has consummated the above transaction that reduces its project finance book by about 8%. We will continue to focus on growing our retail lending franchise.”
Pedro Urquidi from Oaktree, said “This first of its kind transaction in India is representative of how we methodically apply our multi-asset class, structuring, underwriting, investing and restructuring expertise to partner with Asian financial institutions to help them meet their objectives. Our large scale, long term flexible capital, regional presence and global experience enable us to quickly deliver solutions that most other institutions simply cannot.”
Gaurav Parasrampuria from Oaktree, said “We are pleased to partner with DHFLto design and invest in this first of its kind securitization of wholesale loans in India. We have been working closely with Kapil and his team to expeditiously close this first transaction and look forward to exploring more ways to help DHFL optimize its balance sheet.”
Dewan Housing Finance has acquired First Blue Home Finance Ltd. on Mar 29, 2011. It has $1.6 Bn in revenue annually. Last year in Jan it has invested Rs. 1 Bn in EarlySalary
Dewan Housing Finance competes with Indiabulls Housing Finance Limited, Reliance Capital, and Shubham Housing Development Finance Company.