Bajaj Housing Finance IPO fully subscribed in just 4 hours after opening; full issue booked 2.01x on Day 1

Bajaj Housing Finance's mega Rs 6,560-crore IPO opened for bidding on 9 September.

Bajaj Housing Finance's mega Rs 6,560-crore IPO, which opened for bidding on Monday, 9 September, was fully subscribed in just under four hours. HNIs, or non-institutional wealthy investors as well as retail quota have already oversubscribed their reserved portion.

Bajaj Housing Finance had collected a massive Rs 1,758 crore from anchor investors on Friday. The Rs 6,560-crore initial share-sale will conclude on September 11.

The IPO had received bids for over 1,46,58,24,030 shares against the 72,75,75,756 crore shares on offer, as per the data available on the NSE.

Also Read | Bajaj Housing Finance IPO: Street eyes 70% listing gains; check GMP, other details: 

According to multiple platforms that track the grey market premium activities, the shares of Bajaj Housing Finance are commanding a GMP of Rs 50-51 per share, signalling a premium of over 70 percent in the unregulated market.

The non institutional investors (NII) category has received 4.35 times subscription, while the portion for Retail Individual Investors (RIIs) has got subscribed 1.50 times. The category for Qualified Institutional Buyers (QIBs) was booked 1.07x.

The IPO has a price band at Rs 66 to Rs 70 per share for the public issue, comprising 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.

Proceeds from the fresh issue will be utilised to strengthen the company's capital base to meet future capital needs. The share sale is being carried out to comply with the Reserve Bank of India's (RBI) guidelines, which mandate upper-layer non-banking finance companies to be listed on stock exchanges by September 2025.

Bajaj Housing Finance is a non-deposit-taking housing finance company, registered with the National Housing Bank since September 2015. It provides financial solutions for buying and renovating residential and commercial properties.

It has been classified as an "upper layer" NBFC by the RBI in India, and its broad mortgage offerings include home loans, loans against property, lease rental discounting, and developer financing.

Aadhar Housing Finance and India Shelter Finance are two housing finance companies that have been listed on the stock exchanges in recent months.

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