Bajaj Housing Finance IPO Sees Overwhelming Response, Subscribed 7.50 Times on Day 2
Bajaj Housing Finance's Rs 6,560-crore initial public offer (IPO) received a massive response on the second day of bidding, with the issue getting subscribed 7.50 times.
Bajaj Housing FinanceIpoSubscriptionNoninstitutional InvestorsQibsRetail Individual InvestorsRbiNbfcStock ExchangesReal EstateSep 11, 2024
The initial share sale got bids for 5,45,85,77,822 shares against 72,75,75,756 shares on offer, as per NSE data. The portion meant for non-institutional investors got subscribed 16.45 times, while the Qualified Institutional Buyers (QIBs) part received 7.46 times subscription. The quota for Retail Individual Investors (RIIs) garnered 3.83 times subscription.
The initial public offer of Bajaj Housing Finance got fully subscribed within hours of opening for bidding on Monday and ended the day with 2 times subscription. Bajaj Housing Finance on Friday said it has collected Rs 1,758 crore from anchor investors.
The initial share sale will conclude on September 11. The price band for the offer has been fixed at Rs 66-70 per share. The IPO has a fresh issue of equity shares of up to Rs 3,560 crore and an offer-for-sale (OFS) of equity shares to the tune of Rs 3,000 crore by parent Bajaj Finance.
The share sale is being conducted to comply with the Reserve Bank of India's (RBI) regulations, which require upper-layer non-banking finance companies to be listed on stock exchanges by September 2025. Proceeds from the fresh issue will be used to augment the company's capital base to meet future capital requirements.
Bajaj Housing Finance is a non-deposit-taking housing finance company registered with the National Housing Bank in September 2015. It offers financial solutions for purchasing and renovating residential and commercial properties.
Kotak Mahindra Capital Company Ltd, BofA Securities India Ltd, SBI Capital Markets Ltd, Goldman Sachs (India) Securities Private Ltd, Axis Capital, and JM Financial Ltd are the book-running lead managers to the offer.
Frequently Asked Questions
What is the size of the Bajaj Housing Finance IPO?
The size of the Bajaj Housing Finance IPO is Rs 6,560 crore.
What is the price band for the offer?
The price band for the offer has been fixed at Rs 66-70 per share.
What is the purpose of the IPO?
The IPO is being conducted to comply with the Reserve Bank of India's (RBI) regulations, which require upper-layer non-banking finance companies to be listed on stock exchanges by September 2025.
Who are the book-running lead managers to the offer?
Kotak Mahindra Capital Company Ltd, BofA Securities India Ltd, SBI Capital Markets Ltd, Goldman Sachs (India) Securities Private Ltd, Axis Capital, and JM Financial Ltd are the book-running lead managers to the offer.
What are the products offered by Bajaj Housing Finance?
Bajaj Housing Finance offers financial solutions for purchasing and renovating residential and commercial properties, including home loans, loans against property, lease rental discounting, and developer financing.
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