HDB Financial Services’ IPO fully subscribed on day 2

HDB Financial Services IPO Oversubscribed!

HDB Financial Services' massive ₹12,500 crore Initial Public Offering (IPO) has been a resounding success, closing fully subscribed on Thursday!

Investors showed incredible enthusiasm, bidding for a staggering 15 crore shares – surpassing the offered 13.04 crore. This marks the largest IPO by a non-banking financial company (NBFC) in India's history.

• Overall Subscription: 1.16 times (116%)
• Retail Investors: 64% subscribed (3.6 crore shares bid against a quota of 5.62 crore shares)
• Qualified Institutional Buyers (QIBs): 90% subscribed (2.89 crore shares bid against 3.21 crore shares offered)
• Non-Institutional Investors (NIIs): 2.29 times oversubscribed
• Employees & Shareholders: 2.97 and 1.68 times oversubscribed respectively

The IPO, priced between ₹700 and ₹740 per share, comprises a fresh issuance of up to ₹2,500 crore and an offer for sale of up to ₹10,000 crore by parent company HDFC Bank.

Post-IPO, HDFC Bank's stake will decrease from 94% to 75%. The IPO officially closes on June 27th.

Strong Anchor Investor Interest: Prior to the IPO launch, HDB Financial Services secured a substantial ₹3,368.99 crore from anchor investors, including prominent names like Life Insurance Corporation of India, ICICI Prudential Mutual Fund, and several others.

This IPO is the largest in India since Hyundai Motor India Ltd.'s ₹27,870 crore offering last year, solidifying HDB Financial Services' position in the market.