HDFC all set to list its NBFC Arm

Published : 13 March 2024

HDFC Bank has launched the much-anticipated initial public offering of its subsidiary HDB Financial Services. Depending on the state of the market, HDB Financial might be valued between ₹75,000 crore to ₹1 lakh crore during the IPO.

HDFC Sets to list its NBFC Arm

HDFC Bank owns 94.7 percent of its arm and is planning of selling off a 10 percent interest in the IPO, which might result in an issue size of between ₹7,500 and 10,000 crore. Moreover, HDFC Bank intends to put investor shares before an initial public offering. 

HDFC Bank owns 94.7% of the HDB Financial's stake

First IPO of the combined entity

HDFC Bank plans to begin the share sale for its non-banking financial services division either in the last quarter of 2024 or the first quarter of 2025. One of the major listings this year and the first from the combined HDFC Bank and HDFC company might occur if the IPO goes through in 2024. 

HDB Financial Services' IPO must list before September 2025 to meet the RBI guidelines. Srinivasan Vaidyanathan, the CFO of HDFC Bank, stated on January 17 that HDB Financial services to be listed by September 2025.

HDB Financial Services to list by September 2025

Because of HDB Financial's strong parentage and track record of profitability, brokers expect a strong listing for the firm. HDB shares have already increased by more than 30 percent in the last three months in the unlisted market, reflecting the excitement around the IPO and raising hopes for a successful entry. 

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