Indiabulls Housing Finance Limited repaid INR 1,1125 Million of bonds, which was availed in August 2013. Debt repayments of the 10-year monies repaid and the five-year ECBs repaid last week, coincided to make this quarter [Q2FY2023-24] relatively large in terms of debt servicing. As mentioned in earnings call as well as last week's exchange filing, from here onwards enter a phase of positive ALM where loan portfolio inflows will exceed debt repayments by INR 1,3000 Million to INR 1,8000 Million a quarter, all of which will be available for asset growth.

It has been Indiabulls Housing's long-standing policy to maintain adequate liquidity in cash, cash equivalents, and investments to cover near- to mid-term debt repayments. The Company's management has been proactive in its approach to AL management and has always planned in advance for bunched up repayments of the nature that had in this quarter. In such instances, where permitted by regulations, have used the liquidity on the balance sheet to pre-pay or buy back outstanding debt, and where not permitted by regulations, such as in the case of External Commercial Borrowings [ECBs], have voluntarily created earmarked, trustee-managed FDs in a phased manner, a year in advance of repayment dates, to build towards meeting repayment dues.

The Company is now firmly focused on growth. All excess collections over debt repayments and all incremental borrowings will now be available for asset growth. The asset-light model has fully matured, and co-lending relationships with 8 partner banks for each of whom the Company is a strategic relationship contributing significant amount to their total disbursals.

Importantly, being asset-light co-lending, the Company need not build large borrowings to support this, and can grow and earn.