Home First Finance Company plans to raise ₹150 crore through Non-Convertible Debentures (NCDs) via private placement. The fundraising follows strong first-quarter growth, with the company aiming to expand its assets under management by over 25% in the current fiscal year.
Home First Finance Company India Ltd is planning to raise ₹150 crore through the issuance of Non-Convertible Debentures (NCDs) via private placement. A committee of the company’s board is scheduled to meet on August 21, 2026, to finalize the specific details and terms of this issuance. This fundraising move is part of the company's strategy to secure long-term funds to support its ongoing loan expansion.
This planned debt raise follows a strong financial performance in the first quarter of the 2026-27 fiscal year. The company reported a net profit of ₹160 crore, a 34.45% increase compared to the same period last year. Its total assets under management reached ₹16,938 crore, growing by 25.7% year-on-year. Driven by record loan disbursements of ₹1,628 crore, the management has expressed confidence in maintaining an annual growth rate of over 25% for the fiscal year.
As the company prepares for this growth, it is also undergoing a leadership transition. The company's Chief Financial Officer, Nutan Gaba Patwari, is set to step down from the role on August 31, 2026. Investors often track leadership changes in financial companies for continuity in strategy and financial planning.
For housing finance companies, fundraising via NCDs is a standard way to manage the cost of funds and ensure enough liquidity to lend to new borrowers. However, the company faces external pressures that investors should consider. The affordable housing sector remains highly competitive, which may influence lending margins. Additionally, fluctuations in interest rates can affect the cost of borrowing for the company and the demand from customers.
Maintaining stable asset quality is critical for this growth strategy. The company’s Gross Stage 3 assets, which represent loans that are overdue, stood at 1.8% as of the last reported quarter. Future success will depend on the firm's ability to balance rapid growth with strict credit monitoring. The immediate next update for stakeholders will be the outcome of the board committee meeting on August 21 regarding the final terms of the debt issuance.