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HomeIPO WatchBajaj Housing Finance Ltd

Bajaj Housing Finance Ltd

Financial ServicesListed
Issue Size: ₹6,560 CrPrice Band: ₹66-70Exchange: NSE & BSE
Ask DRHP

GMP

72

102.9%

Listing Gain

+114.3%

150

About the Company

Bajaj Housing Finance Limited is a non-deposit taking Housing Finance Company registered with NHB. It offers financial solutions for purchasing and renovating residential and commercial properties.

Business Model

Bajaj Housing Finance operates a retail-focused HFC model offering home loans, loans against property, lease rental discounting, and developer finance. The company leverages Bajaj Finance's extensive distribution and cross-selling network.

Promoters

Bajaj Finance Limited (100% pre-IPO). Post-IPO promoter holding ~88%.

Key Strengths

  • Strong parentage — Bajaj Finance with AAA credit rating
  • Lowest GNPA in industry at 0.28%
  • High NIM of 4.04% vs HFC industry avg 3.2%
  • Fastest-growing HFC among top-5 by AUM
  • Diversified product mix across retail and commercial segments

Key Risks

  • Concentrated in high-ticket urban markets — vulnerable to real estate downturns
  • Rising interest rate environment may compress NIM
  • Competition from large banks offering cheaper home loans
  • Parent-driven growth may reduce independence

Use of Proceeds

Augment Capital Base54.3%
General Corporate Purposes9.7%
OFS (Bajaj Finance)36%

IPO Details

Issue Size

₹6,560 Cr

Fresh Issue

₹3,560 Cr

OFS

₹3,000 Cr

Price Band

₹66-70

Lot Size

214 shares

Min Investment

₹14,980

Exchange

NSE & BSE

Registrar

KFin Technologies Ltd

Open Date

Sep 9, 2024

Close Date

Sep 11, 2024

Allotment

Sep 12, 2024

Listing Date

Sep 16, 2024

Lead Managers

Kotak Mahindra CapitalBofA SecuritiesSBI Capital MarketsAxis CapitalGoldman Sachs

Subscription Status

QIB197.90x
NII (HNI)41.20x
Retail5.60x
Overall63.60x