Bajaj Housing Finance Following the initial public offering (IPO) of HDB, non-banking financial company HDB Financial Services has started the process of launching an IPO. The company may soon file the draft papers to meet the RBI requirements required for the IPO. The board of directors of HDFC Bank, the parent company of non-banking financial company (NBFC) HDB Financial Services, has approved the IPO last week. The board of directors has approved the IPO consisting of fresh issue of shares worth up to Rs 2,500 crore and offer for sale (OFS) by existing shareholders.
Many more NBFCs can bring IPO
HDB Financial Services said it may soon file draft documents for an IPO with the Securities and Exchange Board of India (SEBI). Experts said that given the strong demand in the capital market for high quality companies and depending on the valuations, many NBFCs may come up with IPOs. He said this is not only to meet the listing requirements of RBI but also to enable companies to more easily raise capital for growth after listing.
Bajaj Housing Finance got bumper response
Bajaj Housing Finance Limited on Monday became the most valuable housing finance company in the country almost on the day of its listing in the stock market. The share of Bajaj Housing Finance Limited had a very good start in the market. The company's shares closed at Rs 165, up nearly 136 percent from the issue price of Rs 70 on the first day of trading. Due to strong rise in share price, the market capitalization (market cap) of Bajaj Housing Finance Limited stood at Rs 1,37,406.09 crore at the end of trading. With this, Bajaj Housing Finance became the most valuable housing finance company in the country. Bajaj Housing Finance's Rs 6,560 crore initial public offering (IPO) was subscribed 63.60 times on September 11, the last day of bidding. The price band for the issue was kept at Rs 66-70 per share.
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