Weaver Acquires Majority Stake in Centrum Housing Finance: A Leap Forward in Affordable Housing
Housing finance company Weaver Services Pvt Ltd has made a significant move in the Indian market by acquiring a majority stake in Centrum Housing Finance Ltd (CHFL). The acquisition, funded by a substantial capital raise, underscores Weaver's commitment to expanding access to affordable housing finance across the country.
Weaver announced on Wednesday that it has successfully raised ₹1,450 crore from prominent investors, including Premji Invest, Lightspeed Venture Partners, Gaja Capital, and over 70 individual investors. These funds were primarily used to acquire a 75.01% stake in CHFL, the mortgage lending arm of Centrum Capital.
In a separate statement, Centrum Capital confirmed the completion of the sale of its entire stake in Centrum Housing, effectively ceasing CHFL's status as its subsidiary. Weaver has also entered into a definitive agreement with Morgan Stanley to acquire the remaining 24.99% stake in Centrum Housing, further solidifying its control.
Satrajit Bhattacharya, the founder and executive vice-chairman of Weaver, emphasized the company's mission, stating, “There are roughly 100 million households in India who need a home and can afford one. Most of them will never get a mortgage from a traditional bank. Weaver Services was built to change that.” This vision aligns with the company's goal of providing home loans, self-construction loans, home improvement loans, and loans against property, with a particular focus on women's financial inclusion.
Saravanan Nattanmai, partner at Premji Invest, expressed confidence in Weaver's long-term potential, noting that the company is “building something that will matter for a long time.”
This acquisition marks Weaver’s second significant move in the housing finance sector. In August 2025, Weaver acquired People Home Finance, formerly known as Capital India Home Loans, forming a combined group with assets under management exceeding ₹2,000 crore and a branch network of 140 locations. The two companies will be merged into a single, unified institution, offering a comprehensive range of financial products and services.
Weaver's strategy is to focus on tier II to IV cities, where other lenders have a limited presence. Bhattacharya stated that the company will charge an interest rate of 12-13% and will not pursue growth in the outskirts of major metro cities like Mumbai. Instead, it will target locations like Baramati in Maharashtra, where the market is less saturated.
Anuvrat Jain, partner at Lightspeed Venture Partners, highlighted the vast opportunities in India’s housing finance market, which remains deeply underpenetrated. “This is a large, long-duration opportunity at the intersection of technology and financial inclusion,” he said.
With this acquisition, Weaver is well-positioned to capitalize on the growing demand for affordable housing finance solutions in India, potentially transforming the lives of millions of unbanked households.
