US-based global investment firm The Carlyle Group has announced an investment of ₹2,100 crore to acquire a majority stake in Nido Home Finance Limited (Nido), the housing finance subsidiary of Edelweiss.

As part of the agreement, Carlyle Asia Partners will acquire a 45% stake through a secondary purchase from Edelweiss and infuse ₹1,500 crore as primary equity capital. On a fully diluted basis, Carlyle and associated investors—including veteran banker Aditya Puri, who participated as a co-investor—are expected to hold approximately 73% of Nido.

Nido, established in 2010, focuses on the affordable and mass-market housing segments, serving over 800 talukas across India with an AUM of ₹4,804 crore as of December 2025. For Edelweiss, this deal is a key step in its strategy to unlock value across its diverse financial portfolio while providing Nido with the fresh capital needed to scale in India's high-growth housing sector.

Rashesh Shah, chairman & MD, Edelweiss, said: “The investment by Carlyle in Nido is a key milestone and brings in a high-quality, long-term partner to accelerate Nido’s next phase of growth. At a time when India’s housing finance sector is witnessing strong structural demand, supported by rising affordability and deeper access to formal credit, Nido is well-placed to participate meaningfully in this opportunity."

"I have deep respect for the financial services franchise that Carlyle has built over many years in India and am very excited that they will be partners to help Nido in its next stage of scale-up. Nido has built a strong, purpose-led franchise in affordable housing finance, and I am confident that this combination of strong leadership and capital will help accelerate expansion and create enduring value for all stakeholders."

Sunil Kaul, partner and Asia financial services sector lead, Carlyle, said: “We are thrilled to partner with Edelweiss to support the next phase of Nido’s growth journey. Housing remains a critical national priority for India, and we have strong conviction in the growth potential of the housing finance industry. We are excited to build on our extensive experience in financial services and housing finance to help Nido scale its operations and serve the expanding needs of affordable housing segments in the rural and semi-urban markets. Additionally, we look forward to leveraging our operational experience to support Nido in strengthening its governance and risk management frameworks for long- term sustainable growth and success."

Robust Q3 performance fuels investor optimism

Coinciding with the Carlyle announcement, Edelweiss released its Q3 FY26 results, reporting a massive jump in profitability. The company’s consolidated profit after tax (PAT) grew 112% year-on-year to ₹264 crore for the quarter ended December 31, 2025. Total consolidated revenue for the quarter stood at ₹4,715 crore.

Key business segments showed strong operational momentum:

• Alternative asset management: Fee-paying AUM grew 33% YoY to ₹41,920 crore.

The shares of Edelweiss ended 8.86% higher at ₹121.12 apiece on the national stock exchange on Tuesday.