HDB Financial Services IPO sees 37% subscription on Day 1
HDB Financial Services, the lending arm of HDFC Bank, kicked off its IPO and saw 37% subscription on the first day.
Investors put in bids for nearly 5 crore shares out of the 13 crore available.
The offer includes a fresh issue of ₹2,500 crore and an offer for sale worth ₹10,000 crore, with shares priced between ₹700-740 each.
Mostly owned by HDFC Bank
HDB Financial is mostly owned by HDFC Bank (holding over 94%) and focuses on providing loans to salaried folks, self-employed people, and those who usually find it tough to get credit.
The money raised will help boost its capital so it can lend more in the future.
IPO to close on Friday
Non-institutional investors led the way with a 76% subscription rate, while retail investors came in at 30%. Big institutional buyers were less active at just 1%.
The IPO closes Friday, and if all goes as planned, shares will be listed on July 2 on both BSE and NSE.