PNB Housing Finance , India's third-largest housing finance company, has recently announced a significant leadership change while maintaining its strong financial position and strategic focus. The company held an investor call on August 4, 2025, to address the resignation of Managing Director and CEO Girish Kousgi and outline its plans for the future.

Leadership Transition

Girish Kousgi, who has been instrumental in PNB Housing Finance's transformation over the past three years, has decided to step down from his role to pursue new career opportunities. Kousgi will continue working with the organization until October 28, 2025, to ensure a smooth transition. The Board has appointed Jatul Anand as Executive Director for Prime and Emerging Business, who will serve as interim head if needed.

Nilesh Vikamsey, Chairperson of the Audit Committee and Board Member, emphasized that Kousgi's exit is driven by individual career progression rather than internal challenges. The company's nomination and remuneration committee has initiated a search process for a new CEO, considering both internal and external candidates.

Strong Financial Performance

Despite the leadership change, PNB Housing Finance reported robust financial metrics:

The company maintains a strong retail focus, with 99% of loan assets in the retail segment. Early warning signals are encouraging, with 12-month on-book MOB 30-plus at 0.16% and 24-month MOB 90-plus at 0.17%.

Strategic Focus and Growth Plans

PNB Housing Finance remains committed to its key growth pillars:

1. Retail lending expansion
2. Affordable housing segment penetration
3. Technology-driven operational excellence
4. Maintaining superior asset quality

The company continues to guide for 18% growth on its loan book for the current financial year. It has also expanded its presence in the Affordable Housing and Emerging segments, which are expected to drive future growth and profitability.

Management Reassurances

During the investor call, the management team provided several reassurances:

• The company's transformation strategy remains intact and is embedded across all leadership layers.
• PNB Housing Finance has a strong senior management team and bench strength at the next level.
• The Board remains fully aligned and committed to the company's long-term strategy and operational excellence.
• The promoter, Punjab National Bank, continues to be supportive and does not intend to increase or decrease its stake in the company.

Outlook

Despite the leadership transition, PNB Housing Finance appears well-positioned to continue its growth trajectory. The company's focus on retail lending, particularly in the Affordable and Emerging segments, coupled with its strong financial metrics and robust governance structures, should provide a solid foundation for future performance.

As the search for a new CEO progresses, investors and stakeholders will be keenly watching for any updates on the leadership appointment and its potential impact on the company's strategic direction. In the meantime, PNB Housing Finance's management team remains confident in their ability to execute the existing strategy and deliver value to shareholders.

GIC Private Limited, acting on behalf of the Government of Singapore (GOS) and Monetary Authority of Singapore (MAS), has reduced its stake in PNB Housing Finance through a series of open market transactions. The combined holding of GOS and MAS in the housing finance company has decreased from 3.857% to 3.231% of the total share capital.

Transaction Details

The stake reduction was executed through the sale of 1,630,002 equity shares in the open market. Following the transaction:

• The Government of Singapore now holds 7,015,255 shares, representing 2.693% of the company.
• The Monetary Authority of Singapore retains 1,400,614 shares, accounting for 0.538% of the total share capital.

Breakdown of the Sale

The LODR data provides a detailed breakdown of the transaction:

Transaction Timeline and Share Capital

The transaction was completed on August 4. It's worth noting that PNB Housing Finance's total equity share capital remains unchanged at 260,452,282 shares, as per the company's announcement on July 28.

Historical Context

The LODR filing reveals that GIC had previously held a more substantial position in PNB Housing Finance. As of July 30, GIC's stake stood at 14,033,627 equity shares, representing 5.388% of the company. Since then, GIC has been gradually reducing its position through multiple non-reportable tranches before this disclosure-triggering sale.

Regulatory Compliance

The current disclosure was made in compliance with Regulation 29(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. This regulation requires investors to disclose their shareholding when it crosses certain thresholds.

Market Implications

While the reasons behind GIC's decision to reduce its stake are not disclosed, such movements by significant institutional investors are often closely watched by market participants. The gradual reduction in GIC's stake may prompt other investors to reassess their positions in PNB Housing Finance.

As PNB Housing Finance navigates this change in its shareholder structure, market observers will likely keep a close eye on any potential impacts on the company's strategy and performance in the coming months.