Bajaj Housing Finance IPO Subscription Closes with Overwhelming Demand

The initial public offering (IPO) of Bajaj Housing Finance Ltd. has concluded with a remarkable response from investors, marking a subscription of 63.61 times. Institutional buyers prominently led this enthusiastic reception.

According to data from the National Stock Exchange (NSE), the Rs 6,560 crore IPO attracted bids for 46,28,35,82,522 shares against a total of 72,75,75,756 shares available. The non-institutional investor quota was particularly notable, being oversubscribed 209.36 times. In contrast, the qualified institutional buyers (QIBs) portion was subscribed 41.51 times and retail individual investors (RIIs) contributed with a subscription rate of 7.04 times. The employee segment saw a subscription rate of 2.05 times.

The IPO commenced on the first day with a 2.02 times subscription. In total, the offer comprised a fresh issue valued at Rs 3,560 crore and an offer for sale of Rs 3,000 crore by its parent company, Bajaj Finance Ltd.

Scheduled for finalization on Thursday, September 12, the allotment will be confirmed shortly after. The equity is set to debut on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) on September 16, enabling investors to check the allotment status on the BSE and Kfin Technologies Ltd., as provided.

This IPO aligns with the Reserve Bank of India‘s requirements for public listing, allowing Bajaj Housing Finance, a subsidiary of Bajaj Finance Ltd., to comply with specific listing norms. The housing finance entity, fortified with a price band of Rs 66–70 per equity share, emerged impressive by amassing Rs 1,758 crore from anchor investors.

Proceeds from this offering will be channeled toward strengthening the company’s capital foundation, which is pivotal to supporting ongoing and future capital needs. Recognized as a non-deposit taking housing finance company by the National Housing Bank since its registration in September 2015, Bajaj Housing Finance provides varied financial solutions for both residential and commercial properties.

The firm, recognized by the Reserve Bank of India as an ‘upper layer’ Non-Banking Financial Company (NBFC), furnishes a comprehensive portfolio of mortgage products, including home loans, loans against property, lease rental discounting, and developer financing.