Global private equity firm Warburg Pincus has increased its stake in Home First Finance Company India Ltd by 5.03 per cent, taking its total to 30.62 per cent of the paid-up equity share.

This follows a stake sale by certain existing shareholders to Orange Clove Investments BV, an affiliate of the private equity funds managed by Warburg Pincus.

The deal will help Home First diversify its shareholder’s base and boost stakeholders’ confidence. For Warburg Pincus, this an opportunity to expand its investments in the Indian financial services sector, Home First said in a statement.

Home First is a technology-driven, affordable housing finance company, providing home loans to customers from low- and middle-income groups. Over the last ten years, the firm has sanctioned home loans to more than 50,000 customers in 60 districts, across 11 states and one union territory.

As on September 30, 2020, Home First had Rs 3,730 crore of assets under management and Rs 988 crore net worth.

Home First Finance Company had received SEBI approval for an Initial Public Offering (IPO) in February last year. As per market sources, the company was planning to raise Rs 1,500 crore through the IPO.