HDB Financial Makes a Splashy Debut, Lists 12.8% Above IPO Price at ₹835

HDB Financial Services Ltd, the non-banking finance arm of HDFC Bank, made a strong debut on the NSE today, opening at ₹835 per share, a 12.8% premium over its IPO price of ₹740. The listing marks one of the most anticipated entries in India’s financial sector this year, following a ₹12,500 crore IPO that was subscribed 16.69 times, led by overwhelming institutional demand.

The IPO comprised a ₹2,500 crore fresh issue and a ₹10,000 crore offer for sale by HDFC Bank. The proceeds will be used to bolster HDB’s Tier-I capital and support future lending growth.

 

Key Highlights:

 

Listing Price: ₹835 vs IPO price of ₹740

Market Cap on Listing: ~₹61,250 crore

Subscription: QIBs led with 55.47x bids; retail saw 1.41x

Branch Network: 1,771 branches, with 80% in Tier 3/4 towns

FY25 Financials: Revenue ₹16,300 crore; Net Profit ₹2,175 crore

Focus Areas: Retail loans, asset finance, and underserved segments

 

Analysts view the listing as a vote of confidence in HDB’s phygital model, deep rural reach, and strong parentage. However, potential overhang from HDFC Bank’s required stake dilution (from 74.2% to below 20%) remains a medium-term watchpoint.

 

Source: The Hindu BusinessLine, Economic Times, Financial Express