Bajaj Housing Finance IPO Sees Unprecedented Demand, Receives Rs 3.2 Lakh Crore Bids
Bajaj Housing Finance Ltd's IPO receives massive response from investors, with QIB category subscribed 209.36 times. The issue has received bids worth over Rs 3.23 lakh crore.
Bajaj Housing FinanceIpoQibNiiRetail InvestorsGrey Market PremiumListingBrokeragesReal Estate NewsSep 11, 2024
The portion reserved for non-institutional investors (NIIs) witnessed a subscription of 41.51 times, while the category reserved for shareholders was booked 17.52 times. Retail investors and employee portions saw 7.04x and 2.05x bids, respectively.
Overall, the issue received 46,28,42,48,276 bids against 72,75,75,756 shares on offer, with an overall subscription of 63.61 times. With this, Bajaj Housing apparently became the first company to cross Rs 3 lakh crore bidding value during the initial share sale phase. The IPO secured bids worth more than Rs 3.23 lakh crore.
The price band of the now-concluded Bajaj Housing IPO was fixed at Rs 66-70 apiece. Investors were able to apply for a minimum of 214 equity shares and in multiples thereafter.
Bajaj Housing is aiming to raise Rs 6,560 crore from its primary stake sale, which includes a fresh share sale of Rs 3,560 crore and an offer-for-sale (OFS) of Rs 3,000 crore from its promoter Bajaj Finance Ltd. The net proceeds from the issue will be utilised to augment the capital base to meet future business requirements of the company towards onward lending.
In the grey market, Bajaj Housing shares were last seen trading at a premium of 104.29 per cent against its issue price of Rs 70 (upper price band). The stock is likely to get listed on September 16.
Bajaj Housing's IPO was popular among investors, given the company's pedigree, strong presence, growing mortgage business, and the current buoyancy in the primary market. The stock is expected to stage a solid debut. If it delivers a strong listing pop, investors can consider booking some profit.
At least 16 domestic brokerages, such as Chola Securities, IDBI Capital, Incred Equities, Nirmal Bang Securities, Canara Bank Securities, Reliance Securities, Devan Choksey Research, Marwadi Shares, BP Equities, StoxBox, Mehta Equities, LKP Research, Ventura Securities, SMIFS, Gupta Equities, and Kunvarji Wealth Solutions, gave a 'Subscribe' call to the IPO.
Ahead of its IPO, the company raised Rs 1,758 crore from anchor investors. Bajaj Housing's anchor book included names like the Government of Singapore, New World Fund Inc, ADIA, Fidelity, Invesco, HSBC, Morgan Stanley, Nomura, JP Morgan, and a host of domestic mutual funds and insurance players.
The company reported a net profit of Rs 482.61 crore with a revenue of Rs 2,208.73 crore for the three months ended on June 30, 2024. Its net profit came in at Rs 1,731.22 crore with a revenue of Rs 7,617.71 crore for the financial year ended on March 31, 2024.
Kotak Mahindra Capital Company, BofA Securities India, Axis Capital, Goldman Sachs (India) Securities, SBI Capital Markets, JM Financial, and IIFL Securities are the book-running lead managers, while Kfin Technologies is the registrar of the issue.
Frequently Asked Questions
What is the price band of the Bajaj Housing Finance IPO?
The price band of the Bajaj Housing Finance IPO is fixed at Rs 66-70 apiece.
How many times was the QIB category subscribed?
The QIB category was subscribed 209.36 times.
What is the expected listing date of Bajaj Housing Finance shares?
The stock is likely to get listed on September 16.
What is the grey market premium of Bajaj Housing Finance shares?
Bajaj Housing shares were last seen trading at a premium of 104.29 per cent against its issue price of Rs 70 (upper price band).
How much did Bajaj Housing raise from anchor investors?
The company raised Rs 1,758 crore from anchor investors.
Related News Articles
Film Producer Madhu Mantena's Company Acquires Multiple Apartments in Mumbai for Rs. 25.75 Crore
Madhu Mantena, the acclaimed film producer behind hits like Ghajini and Queen, has made a significant foray into Mumbai's real estate market by acquiring multiple apartments for a total value of Rs. 25.75 crore.
Union Budget 2025: Infrastructure and Capital Expenditure to Drive Growth
The Union Budget for 2025 is expected to focus on robust infrastructure development and capital expenditure, driving year-on-year growth in urban infrastructure, affordable housing, and the Pradhan Mantri Awas Yojana (PMAY).
Keystone Realtors Sees 50% Drop in Q3 Profit for 2024
Keystone Realtors, a leading real estate developer, reports a significant 50% decline in net profit for the December 2024 quarter, reaching Rs 15.07 crore. Total income also decreased to Rs 485.82 crore.
NCR Locality Sees 128% Surge in Property Prices Over 3 Years
Real estate prices in specific regions of India, particularly Noida Sector 150, have witnessed a dramatic surge of 128% between 2021 and 2024, making it a hot spot for investors and homebuyers.
Anti-Corruption Bureau Cracks Down: Detains Parbhani District Sports Officers for Rs 1.5 Lakh Bribe
In a significant move to combat corruption, the Anti-Corruption Bureau (ACB) in Maharashtra has detained two sports officers from the Parbhani district for allegedly accepting a bribe of Rs 1.5 lakh. The officials are accused of taking the money to facilitate the approval of a sports grant. This operation underscores the ACB's commitment to rooting out corrupt practices within the government.
Godrej Properties Launches 3D-Printed Villa in Pune at Rs 2000 Crore
Godrej Properties has made headlines with the launch of India's first 3D-printed villa at the Godrej Eden Estate in Pune, marking a significant milestone in the real estate sector. This groundbreaking project showcases the company’s commitment to innovation and sustainability.