IndoStar Capital Finance Limited (NSE: INDOSTAR), a leading non-banking financial company (NBFC), has announced the successful completion of the sale of its wholly-owned subsidiary, Niwas Housing Finance Private Limited (formerly IndoStar Home Finance), to WITKOPEEND B.V., an affiliate of BPEA EQT Mid-Market Growth Partnership, a global private equity investor.
Under the terms of the transaction, IndoStar has received a total consideration of ₹1,705.95 crore. The proceeds from the deal will be used to strengthen IndoStar’s balance sheet and accelerate growth in its core businesses—Vehicle Finance and Small Business Loans—particularly in Tier 3 and Tier 4 towns across India.
Strategic Realignment
Randhir Singh, Managing Director and Executive Vice Chairman of IndoStar, called the transaction a “significant milestone” in the company’s journey, adding:
“It enhances our liquidity and capital position, enabling us to fast-track profitability and value creation in our focus verticals.”
Devdutt Marathe, Non-Executive Director of IndoStar and a Brookfield nominee on the board, said:
“We thank the Niwas team for their contributions and wish them success going forward. IndoStar remains committed to delivering long-term value to its stakeholders.”
About IndoStar
Headquartered in Mumbai, IndoStar Capital Finance Limited is a Reserve Bank of India-registered NBFC categorized as a “middle-layered” institution. Backed by Brookfield and Everstone as co-promoters, IndoStar focuses on new and used commercial vehicle financing and small business loans, primarily in underserved rural and semi-urban markets.
The divestment of Niwas Housing Finance marks a focused pivot toward IndoStar’s core lending verticals and bolsters its strategy of sustainable growth backed by strong liquidity and capital adequacy.