Bajaj Housing Finance files DRHP with SEBI to jump ₹7,000 Crore via IPO;

Bajaj Housing Finance IPO: Bajaj Housing Finance has filed preliminary draft papers with capital markets regulator Securities and Exchange Board of India (SEBI) to raise funds of ₹7,000 Crore through its upcoming public offering.

The total public issue of up to ₹7,000 Crore includes a new issue of equity shares up to ₹4,000 Crore and an offer for sale (OFS) of up to ₹3,000 Crore by the selling shareholder with a face value of up to ₹3,000 Crore. Or the parent company, Bajaj Finance limited each equity share of ₹10.

The share sale is being conducted to comply with Reserve Bank of India (RBI) regulations, which require upper tier non-banking finance companies to be listed on stock exchanges by September 2025.

The mortgage lender intends to use the proceeds from the new issue to meet future capital requirements and to increase the company’s capital base for business development for future lending.

The IPO comprises reservation of equity shares for subscription by eligible employees and reservation of shares of face value of ₹10 each for subscription by eligible shareholders of the promoters, individuals and HUFs, who are public equity shareholders of the promoters.

Kotak Mahindra Capital Company Limited, SBI Capital Markets Limited, Axis Capital Limited, BofA Securities India Limited, Goldman Sachs (India) Securities Private Limited, JM Financial Limited and IIFL Securities Limited are the book running lead managers to the issue.

On June 6, 2024, the board of Bajaj Finance permitted the sale of shares worth ₹3,000 Crore in the initial public offering of Bajaj Housing Finance.

It provides financial solutions for purchase and renovation of residential and commercial properties.

For the full financial year 2023-24, the housing lender posted a net profit of ₹1,731 Crore, marking a 38 percent increase from ₹1,258 Crore in FY23.