Motilal Oswal Home Finance Secures $100 Million From Asian Development Bank to Boost Affordable Housing Loans
Cross Border Debt Deal Strengthens Funding Base
Motilal Oswal Home Finance has signed an agreement with the Asian Development Bank to raise 100 million dollars in rupee equivalent debt through the issuance of non convertible debentures.The transaction marks a cross border debt raising for the housing finance company and brings a multilateral institution into its funding mix. The long term capital is expected to support the company’s asset liability management strategy and diversify its borrowing profile.
Focus on Women Borrowers and Green Housing
The company said the proceeds will primarily be deployed to extend affordable housing loans to women borrowers. In addition, 10 percent of the funds will be allocated to finance the construction of residential units that meet recognized green building certification standards.The funding structure is designed to strengthen access to formal housing finance in underserved and emerging towns, while also supporting sustainable housing development.
Leadership Highlights Strategic Impact
Sukesh Bhowal, Managing Director and Chief Executive Officer of Motilal Oswal Home Finance, said the partnership will help the company expand affordable housing finance in smaller and emerging markets. He added that a portion of the capital will also support green housing initiatives.Bhavin Shah, Chief Financial Officer, stated that access to longer term funds at competitive terms is expected to improve cost efficiency and enhance balance sheet management.
Isabel Chatterton, Director General, Private Sector Operations Department at the Asian Development Bank, said the financing is aimed at widening access to affordable housing loans for women and supporting the company’s entry into the green certified housing segment, while promoting inclusive access to formal credit.
Tenure and Pricing Details Undisclosed
The company did not disclose the tenure or pricing of the non convertible debenture issuance.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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