Edelweiss Financial Services announced that funds affiliated with The Carlyle Group will acquire a strategic majority stake in its subsidiary, Nido Home Finance Limited. Carlyle plans to invest a total of INR 2,100 Cr (approx. USD 230M). The investment includes a 45% stake acquisition via secondary purchase and a primary equity infusion of INR 1,500 Cr (approx. USD 165M) into Nido. The deal aims to bolster Nido’s expansion in affordable housing finance.
Strategic Investment in Housing Finance Business
Edelweiss Financial Services Limited (Edelweiss) and global investment firm The Carlyle Group announced on February 10, 2026, a definitive agreement under which Carlyle’s affiliated funds will acquire a strategic majority stake in Nido Home Finance Limited (Nido), a wholly-owned subsidiary of Edelweiss.
Transaction Details and Capital Infusion
The total investment amount committed by Carlyle Asia Partners (CAP) is INR 2,100 Cr (approximately USD 230M). This investment is structured in two parts:
- Acquisition of a 45% stake in Nido from Edelweiss via a secondary purchase.
- A primary equity capital infusion of INR 1,500 Cr (approximately USD 165M) into Nido.
Nido, established in 2010, focuses on home loan solutions in the affordable housing and mass-market segments, currently managing an Assets Under Management (AUM) of INR 4,804 Cr (approximately USD 530M).
Deal Rationale and Strategic Value
For Edelweiss, the partnership supports the objective of unlocking value by injecting fresh growth capital and leveraging Carlyle’s operational expertise. The transaction is viewed as a win-win opportunity to better serve the affordable housing segment, a key priority for the Indian government.
Rashesh Shah, Chairman & MD, Edelweiss, stated that Carlyle is a high-quality, long-term partner crucial for accelerating Nido’s next phase of growth.
Sunil Kaul, Partner and Asia Financial Services Sector Lead, Carlyle, noted Carlyle’s strong conviction in the housing finance industry and commitment to supporting Nido’s operations, especially in rural and semi-urban markets. Notably, Aditya Puri, Senior Advisor to Carlyle in Asia and former CEO of HDFC Bank, will also participate as an investor.
Closing Note
The transaction remains subject to customary regulatory approvals, including those from the Reserve Bank of India, National Housing Bank, and the Competition Commission of India.
Source: BSE
