Aviom Insolvency: Authum Investment, JC Flowers ARC Show Interest In Bankrupt Mortgage Lender

Authum Investment & Infrastructure Ltd. and JC Flowers Asset Reconstruction Co. have expressed their interest in submitting bids for the lender. While a formal expression of interest is still awaited, the bidders have engaged with the administrator at Aviom India Housing Finance, the people said.

Reserve Bank of India had first initiated insolvency proceedings against Aviom India Housing Finance in January 2025. Later, in February, the National Company Law Tribunal admitted the company under bankruptcy proceedings. Ram Kumar, former chief general manager of Punjab National Bank was appointed as administrator by the regulator.

Authum Investment has previously acquired Reliance Commercial Finance Ltd. in 2023. JC Flowers ARC is widely known for the acquisition of Yes Bank's massive Rs 48,000 crore gross non-performing asset portfolio, for a little over Rs 11,000 crore.

Queries mailed to both investors did not immediately yield a response.

Authum Investment & Infrastructure Ltd. and JC Flowers Asset Reconstruction Co. have expressed their interest in submitting bids for the lender. While a formal expression of interest is still awaited, the bidders have engaged with the administrator at Aviom India Housing Finance, the people said.

Reserve Bank of India had first initiated insolvency proceedings against Aviom India Housing Finance in January 2025. Later, in February, the National Company Law Tribunal admitted the company under bankruptcy proceedings. Ram Kumar, former chief general manager of Punjab National Bank was appointed as administrator by the regulator.

Authum Investment has previously acquired Reliance Commercial Finance Ltd. in 2023. JC Flowers ARC is widely known for the acquisition of Yes Bank's massive Rs 48,000 crore gross non-performing asset portfolio, for a little over Rs 11,000 crore.

Queries mailed to both investors did not immediately yield a response.

According to disclosures available on the company's website, Aviom India Housing Finance has admitted claims worth Rs 1,360 crore from financial creditors. The committee of creditors is being led by BlueOrchard, which has the largest exposure of funds to Aviom India Housing Finance. BlueOrchard is a Switzerland-based impact investor.

Other large creditors to the company include Japan ASEAN Women Empowerment Fund, Luxembourg-based InsuResilience Investment Fund, and LIC Housing Finance.

On May 13, the administrator had invited expressions of interest from potential investors. The EOIs are expected be submitted by May 28, according to the timeline provided by the administrator.

Aviom India Housing Finance lends largely to women borrowers in low-income households across semi-urban locations in 13 states across India. It had a loan book of approximately Rs 1,800 crore. The company fell into severe financial difficulties, owing to mismanagement of funds.

In January, NDTV Profit had reported that Aviom India Housing Finance had likely borrowed high cost funds from moneylenders. The interest rates on these funds range between 40-50%.

While the banking regulator typically avoids insolvency proceedings against regulated lenders, it has done so in the past when the financial position of lenders has worsened significantly. In the past, RBI has taken similar action against other non-bank lenders, including Dewan Housing Finance Ltd, SREI Infrastructure Finance Ltd, and Reliance Capital Ltd.