Bajaj Finance shares slip in red territory in afternoon trade

Bajaj Finance share price NSE today, Bajaj Housing Finance IPO: Bajaj Finance shares remained in focus on Monday, June 10 after Bajaj Housing Finance filed preliminary papers with capital markets regulator Sebi to raise Rs 7,000 crore through an initial public offering (IPO). The stock gained nearly a per cent to the day's high of Rs 7,250 on NSE in opening deals. The counter traded 0.76 per cent lower at Rs 7,136.65 in afternoon trade on NSE.

Bajaj Housing Finance IPO details 

The proposed IPO comprises a fresh issue of equity shares of up to Rs 4,000 crore and an offer for sale (OFS) of equity shares worth Rs 3,000 crore by parent Bajaj Finance, according to the draft red herring prospectus (DRHP).

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

Bajaj Housing Finance IPO: Fund Utilisation

Proceeds from the fresh issue will be used to augment the company's capital base to meet future capital requirements.

What does Bajaj Housing Finance do?

Bajaj Housing Finance is a non-deposit-taking housing finance company registered with the National Housing Bank since September 2015. It offers financial solutions for purchasing and renovating residential and commercial properties.

It has been identified and categorised as an "upper layer" NBFC by the RBI in India, and its comprehensive mortgage products include home loans, loans against property, lease rental discounting and developer financing.

For the entire financial year 2023-24, the housing lender posted a net profit of Rs 1,731 crore, marking a growth of 38 per cent from Rs 1,258 crore in FY23.

Housing finance companies Aadhar Housing Finance and India Shelter Finance have been recently listed on the stock exchanges.

Bajaj Housing Finance: Book-running lead managers

Kotak Mahindra Capital Company Ltd, BofA Securities India Ltd, SBI Capital Markets Ltd, Goldman Sachs (India) Securities Private Ltd and JM Financial Ltd are the book-running lead managers that will manage the company's public issue.

(With PTI inputs)

(This story will be updated shortly.)

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