Home First Finance share list at Rs 618.80, a 19% premium over issue price

The share price of Home First, the affordable housing finance limited surged 19 per cent in the opening over issue price on 3rd February. The reason for the same can be the strong fundamentals of the company and the positive mood prevailing over the Dalal Street after the announcement of the Budget 2021.

The issue price for Home First was 518 per share, but the shares started off the day on the BSE at a level of 612.15. The stock opened with a 19.46 per cent premium on the NSE at a level of Rs 618.80.

Home First Finance Company is a Bangalore based company and provides housing finance to first time home buyers from the middle income and low-income groups. The company launched its public issue worth Rs 1154 crores on 21st January for subscription. The same was closed for subscription on 25th January and was subscribed 27 times.

The asset quality of the company has remained stable despite the COVID-19 crisis. The Capital Adequacy Ratio of the fast growing home finance company is 51.7 per cent at the end of first half of the FY21. This demonstrates a strong growth for the company driven by strong demand for affordable housing finance.