How Advent’s ₹2,750 Cr investment strengthens Aditya Birla Capital’s growth outlook

Synopsis: An Aditya Birla Group firm saw shares rise 8 percent after receiving Rs. 2,750 crore from Advent International, strengthening its Rs. 42,204 crore AUM, supporting growth, market expansion, and long-term housing finance prospects.

The shares of the holding company for the financial services businesses of the Aditya Birla Group, jumps 8 percent after its subsidiary is set to receive a primary capital infusion of Rs. 2,750 crore from Advent International.

With a market capitalization of Rs. 90,643.59 crore, the shares of Aditya Birla Capital Limited were trading at Rs. 346.10, up by 3.92 percent from its previous day’s closing price of Rs. 333.05. In today’s trading session, the stock has touched an intraday high of Rs. 360.85, which implies 8.34 percent increase from previous day’s close price.

News

Aditya Birla Housing Finance Limited (ABHFL), a wholly owned subsidiary of Aditya Birla Capital Limited (ABCL), is set to receive a primary capital infusion of Rs. 2,750 crore from Indriya Limited, an entity of global private equity firm Advent International.

The deal, which values ABHFL at Rs. 19,250 crore post-money, will result in ABCL holding 85.7 percent of the subsidiary and Advent holding 14.3 percent, subject to shareholder and regulatory approvals. The announcement triggered a strong market reaction, with ABCL shares surging over 8 percent, reflecting investor confidence in the subsidiary’s growth story.

How Does This Boost the Company?

The infusion strengthens ABHFL’s financial foundation, enabling it to sustain its rapid growth momentum and expand market share. ABHFL has consistently ranked among the top 3 housing finance players in terms of incremental loan book growth, with an AUM of Rs. 42,204 crore as of December 31, 2025, growing at a CAGR of 48 percent over the last three years.

The company has maintained best-in-class asset quality, with a gross stage 3 ratio of 0.54 percent and net stage 3 ratio of 0.23 percent, reducing credit risk and enhancing investor confidence.

Strategic Advantages and Market Validation

The Advent investment not only brings capital but also strategic validation. Advent’s participation signals strong confidence in ABHFL’s management, governance, and growth strategy, bolstering ABCL’s overall market perception. 

It also allows the subsidiary to deepen market penetration across prime and affordable segments, construction finance, and pan-India distribution channels. With sustained investments in technology, digital platforms, and talent, ABHFL is poised to enter the next phase of scalable expansion.

Long-Term Growth Outlook

The investment positions ABCL to leverage structural tailwinds in India’s housing sector, driven by initiatives like the Pradhan Mantri Awas Yojana, affordable urban housing programs, and expanding infrastructure in urban and rural areas. As ABHFL strengthens its franchise and scales its operations, ABCL stands to benefit from enhanced earnings, asset quality, and market leadership, reinforcing its long-term growth trajectory and shareholder value.

Leadership Perspective

Kumar Mangalam Birla, Chairman of the Aditya Birla Group, emphasised that structured and transparent housing finance will be pivotal in unlocking large-scale growth in India. Vishakha Mulye, MD & CEO of ABCL, highlighted ABHFL’s robust operating model, omnichannel distribution network, and scalable growth potential. Advent’s Shweta Jalan underlined the strong conviction in ABHFL’s leadership and governance, supporting the company’s next growth phase.

Aditya Birla Capital Limited (ABCL) is a listed, systemically important NBFC and the holding company for financial services across Loans, Investments, Insurance, and Payments, serving customers nationwide through 1,742 branches, 200,000+ agents, and multiple bank partners. Part of the US$67 billion Aditya Birla Group (Fortune 500, market cap US$117 billion as of Jan 2026), ABCL benefits from a 66,340-strong workforce, while the Group’s 227,500 employees drive global operations across 41 countries and multiple sectors, with over 40 percent of revenues from overseas.

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.

The post How Advent’s ₹2,750 Cr investment strengthens Aditya Birla Capital’s growth outlook appeared first on Trade Brains.