Private equity firms Carlyle and General Atlantic are likely to increase their stake in PNB Housing Finance Ltd, a media report said.
Citing sources close to the development, The Economic Times said that US-based Varde Partners is also likely to invest in the mortgage lender.
The three foreign investors, as well as two local investors, are likely to subscribe to a fresh issue of shares worth Rs 2,000 crore by PNB Housing, the report said. It didn't identify the local investors.
PNB Housing has hired JM Financial and Kotak Mahindra Capital Company as merchant bankers for the share issue, the report added.
The mortgage lender has been seeking to raise money for quite some time.
In March, its parent Punjab National Bank agreed to sell a 13% stake in the company to General Atlantic and Varde Partners for Rs 1,851 crore.
However, the talks fell though in May.
The state-run bank owned a 32.67% stake in PNB Housing at the end of June, stock-exchange data show. General Atlantic owned 9.87%, Varde Partners 1.6% and Carlyle a 32.25% stake.
General Atlantic had acquired a stake in PNB Housing when Carlyle made a partial exit in May last year.
Punjab National Bank and Carlyle had in July last year initiated a joint process to sell a minimum 51% stake in PNB Housing. Carlyle withdrew from the sale process in November, but the bank decided to independently pursue the sale of its stake.