Affordable housing financier Aavas gets Rs 345 cr funding from IFC

Affordable housing financier Aavas on Monday said it has received a Rs 345 crore investment from World Bank arm IFC.

Aavas will use the proceeds to grow its affordable housing finance programme in rural and semi-urban areas of Rajasthan, it said.

Aavas Financiers Limited (Aavas) has received an investment of Rs 345 crore from IFC-- a member of the World Bank Group-- through issuance of non-convertible debentures (NCDs), the company said in a release.

"Amid the ongoing liquidity crisis marring the country's financial sector,...the company has successfully raised Rs 345 crore from IFC through issuance of NCDs. This fund raise is in line with the company's objective of strengthening our position in affordable housing segment with sustainable growth," Sushil Kumar Agarwal, managing director and chief executive officer, Aavas Financiers said.

Aavas is a retail-focused affordable housing finance company, primarily serving low and middle income self-employed customers.

The company operates in nine states: Rajasthan, Maharashtra, Madhya Pradesh, Gujarat, Chhattisgarh, Haryana, Delhi, Uttarakhand and Uttar Pradesh.

It has a long-term credit rating AA- (Stable) by CARE.