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Edelweiss Financial Services Limited (“Edelweiss”) has closed the strategic transaction under which investment funds affiliated with Carlyle Asia Partners (“CAP”), part of the global investment firm The Carlyle Group (NASDAQ: CG), have acquired a strategic majority stake in Nido Home Finance Limited (“Nido”), the housing finance arm of Edelweiss. The transaction, announced on February 10, 2026, has been consummated post the receipt of the requisite regulatory and statutory approvals. Carlyle’s investment in Nido is over INR 2,000 crore, or approximately USD 215 million.

The investment is through a combination of primary capital infusion and secondary purchase. The primary capital infusion is of approximately INR 1,450 crore, of which approximately INR 725 crore has been received and the balance is to be received within 18 months. Nido’s net worth is set to nearly triple to approximately INR 2,300 crore, within 18 months, on account of the primary capital infusion.  The secondary purchase of a 45% stake from Edelweiss for approximately INR 600 crore is complete. Edelweiss will hold approximately 26% of Nido on a fully diluted basis at the end of 18 months and is to receive a share of the upside subject to Carlyle realizing returns above a specified threshold. 

Nido, established in 2010, is one of India’s leading housing finance companies, offering home loan solutions across the affordable housing and mid-ticket market segments through a large network of branches that serves over 800 talukas, or sub-districts, and it manages assets under management of INR 4,900 crore as of the quarter ended June 2026. It has been built within Edelweiss, a diversified financial services company that operates seven independent and well-governed businesses spanning alternative asset management, mutual funds, asset reconstruction, non-banking finance, housing finance, general insurance and life insurance, employs over 6,000 people, serves around 1.4 crore customers and manages around INR 2,80,000 crore worth of assets.

For Edelweiss, the transaction marks a significant milestone in its objective of creating value across its businesses. It provides Nido with fresh growth capital, enables Edelweiss to monetise part of its stake and reduce debt, and brings Carlyle in as the majority investor with a long-term focus on the housing finance business. Nido also gains access to Carlyle’s operating expertise to better serve the growing affordable housing segment, while Carlyle enters a high-growth housing finance sector with an established platform and strong structural demand. The infusion of primary equity is expected to strengthen Nido’s financial foundation and position it to serve the underserved affordable and mid-ticket housing segments more effectively across rural, semi-urban and emerging markets.

Carlyle brings the strength of a reputed global investor with a strong India presence, a proven track record in financial services that includes YES Bank, SBI Card and SBI Life, and a demonstrated ability to create long-term value, with its strategic and operational expertise supporting Nido’s next phase of growth. The firm deploys private capital across Global Private Equity, Global Credit and Carlyle AlpInvest, managed USD 477 billion of assets as of December 31, 2025, and employs more than 2,500 people across 27 offices on four continents. Sunil Kaul, Partner and Asia Financial Services Sector Lead, Carlyle, is leading the transaction, and Aditya Puri, Senior Advisor to Carlyle and the former Managing Director of HDFC Bank, also comes onboard as an investor through Salisbury Investments Private Limited

The transaction positions the business for its next phase of growth — serving more customers, strengthening its market position and creating enduring value for all stakeholders.

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