Carlyle to Acquire Majority Stake in Edelweiss Home Finance Subsidiary for ₹2,100 Crore

Global private equity firm Carlyle is set to take a majority position in Nido Home Finance through a ₹2,100 crore investment, marking a significant transaction in India’s affordable housing finance sector. 

Transaction Structure and Ownership Shift 

Under the deal, funds affiliated with Carlyle Group will invest ₹2,100 crore, equivalent to about $230 million, in Nido Home Finance.  

The transaction comprises a secondary acquisition of a 45% stake from Edelweiss Financial Services Limited and a fresh primary equity infusion of ₹1,500 crore to support growth.  

Aditya Puri, senior advisor to Carlyle in Asia and former Managing Director and CEO of HDFC Bank, will also participate as an investor in the transaction. 

Business Profile and Growth Plans 

Founded in 2010, Nido Home Finance operates in the affordable housing segment, focusing on mass-market, rural and semi-urban borrowers. The company has a presence across more than 800 talukas through its branch network and manages assets under management of ₹4,804 crore. 

The fresh capital is aimed at strengthening Nido’s capital base and operational capabilities, accelerating expansion in affordable housing, and supporting technology investments and governance frameworks. The affordable housing segment remains a key policy priority in India. 

Investor Commentary and Sector Context 

Rashesh Shah of Edelweiss described Nido as a “strong, purpose-led franchise” in affordable housing finance, stating that the partnership brings capital and expertise to scale the platform.  

Sunil Kaul of Carlyle said housing remains a “critical national priority,” adding that the firm intends to support growth while strengthening governance and risk management for long-term sustainability. 

Carlyle has previously invested in housing finance players including PNB Housing Finance and HDFC. 

Read More: Reliance Consumer Products Expands Portfolio with Southern Health Foods Acquisition! 

Conclusion 

With Carlyle acquiring a majority stake and injecting fresh capital, Nido Home Finance is positioned to expand its footprint in affordable housing while strengthening operational scale and risk management capabilities. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.  

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.