Can Fin Homes Sets June 25 Date to Unlock New Funding Channels

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Can Fin Homes Ltd, the leading housing finance company sponsored by Canara Bank, has fixed June 25, 2025, for a board meeting to clear a significant proposal for fund-raising. The company is proposing an issue of equity shares and an issue of non-convertible debentures (NCDs) to shore up its capital base and finance future growth.

Key Highlights:

- The board will also consider raising money through:
- Share capital, approved by shareholders and regulators.
- Secured/unsecured NCDs, e.g., Tier-II subordinated debt, under Section 42 of the Companies Act and SEBI's NCS regulations
- The money raised will go towards supporting:
- Expansion of loan book amidst rising housing demand
- Strengthening capital adequacy
- Diversification of sources of finance
- This follows a similar capital raise in 2023, when the company raised ₹4,000 crore in debt instruments and ₹1,000 crore in equity routes like QIP and rights issues.
- Fin Homes has posted a robust financial performance, with a sound loan book, low NPAs, and emphasis on housing finance for affordable housing in Tier-II and Tier-III cities.
- The share of the company has demonstrated steady performance, indicating investors' trust in its prudent lending policy and consistent returns.

Prospects

As interest rates normalize and housing demand picks up, Can Fin Homes' capital infusion program is a reflection of its desire to increase operations and stay competitive in India's evolving mortgage landscape.

Sources: Rediff MoneyWiz, Trendlyne, Economic Times Realt