Creador offloads more of Repco Home Finance

According to a regulatory filing, the GP sold just under 400,000 shares at INR470.07 apiece - representing a 0.6% stake - for INR187.8 million ($3 million). The transaction comes just over a week after the PE firm shed around 5% of the business for INR1.45 billion - or INR470 a share - generating a 3.3x money multiple.

Creador originally invested $13.5 million in RHF in January 2013, taking a 10% stake which was later diluted to 7.46% after RHF went public in March of that year. The firm's remaining stake is valued at around INR584 million at current market prices.

RHF was founded in 2000 as the mortagage finance unit of Repco Bank. The firm is headquartered in Chennai and provides home loans across southern India and adjacent areas, with 74 branches in eight states and one union territory. RHF focuses chiefly on the underserved segment of self-employed borrowers located outside of India's major cities.

The firm has had a number of PE backers with The Carlyle Group initially investing around INR1 billion between 2007 and 2009 through the purchase of a 49.7% stake. The PE firm then sold a little over 23% in secondary transactions to Wolfensohn and Creador, with the former taking 13%. It also sold a 2.78% to Antique Broking and Shardul Securities, raising a total of INR1.9 billion through all sales.

Carlyle made a full exit in June 2013 via an INR4.72 billion open market transaction. Wolfensohn made a full exit over two transactions in April this year, reportedly generating a 2x return.

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• Topics
• South Asia
• Financials
• Exits
• India
• Financial Services
• Exit
• Creador
• Sell down