Aavas Financiers Limited has received approval from the Reserve Bank of India (RBI) for the proposed acquisition of a 52.68% stake in the company by Aquilo House Pte. Ltd. The transaction, first announced in August 2024, involves the transfer of 2,09,49,112 equity shares from certain members of Aavas Financiers’ promoter and promoter group to the purchaser under the terms of the Share Sale Agreements.
RBI’s approval, granted on February 4, 2025, permits both the stake acquisition and a change in management, which will involve the appointment of five nominees from Aquilo House to the board of directors. The appointments will be valid for a term not exceeding five years.
The approval is subject to conditions set out in the Master Direction for Non-Banking Financial Companies-Housing Finance Companies (HFC Directions) dated February 17, 2021, including a requirement for a seven-day public notice before the transaction is consummated.
The strategic acquisition will be completed in line with the agreed terms in the Share Sale Agreements, ensuring the smooth transition of control while meeting regulatory guidelines.
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