Bajaj Housing Finance is scheduled to hit the market on September 9, 2024 and close on September 11, 2024. Bajaj Housing Finance plans to raise around ₹6,560.00 Cr through an IPO with a sale of up to 937,142,858 equity shares of ₹10 each. The Retail offered 35%, QIB Shares Offered 50%, HNI Shares Offered 15%.
Bajaj Housing Finance, founded in 2008 and registered with the National Housing Bank (NHB) since 2015, is a non-deposit-taking Housing Finance Company (HFC) that has been providing mortgage loans since the financial year 2018. Part of the diversified Bajaj Group, the company specializes in offering tailored financial solutions for individuals and businesses looking to purchase or renovate homes and commercial properties. Its comprehensive range of mortgage products includes home loans, loans against property (LAP), rent concessions, and developer finance.
As of March 31, 2024, Bajaj Housing Finance served 308,693 active customers, with home loan customers making up 81.7% of this total. The company operates a network of 215 branches across 174 locations in 20 states and three union territories, supported by six centralized retail loan review centers and seven centralized loan processing centers.
Bajaj Housing Finance IPO Details
Bajaj Housing Finance IPO opens on September 9, 2024, and closes on September 11, 2024. The Listing date for Bajaj Housing Finance IPO is on September 16, 2024. The price band for IPO is ₹67 to ₹70 per share and lot size of 214 Shares.
| IPO Date | September 9, 2024 to September 11, 2024 |
| Listing Date | September 16, 2024 |
| Price | ₹67 to ₹70 per share |
| Lot Size | 214 Shares |
| Issue Size | ₹6,560.00 Cr |
| Face Value | ₹10 per share |
Bajaj Housing Finance IPO Tentative Timetable
Bajaj Housing Finance opening date is September 9, 2024 and close date is September 11, 2024. The IPO allotment date is September 12, 2024. Therefund initiation of IPO is on September 13, 2024. The credit of shares in demat account is on September 13, 2024. The listing date is on September 16, 2024.
| Event | Date |
|---|---|
| IPO Opening | September 9, 2024 |
| IPO Closing | September 11, 2024 |
| IPO Allotment Date | September 12, 2024 |
| Refund Initiation | September 13, 2024 |
| Shares Credit to Demat | September 13, 2024 |
| Lisiting Date | September 16, 2024 |
Bajaj Housing Finance IPO Lot Size
Lot Size of this IPO is 214 shares. A retail-individual investor can apply for up to 13 lots (2782 shares or ₹194,740).
| Category | Lots | Shares | Amount |
|---|---|---|---|
| Retail(Minimum) | 1 | 214 | ₹14,980 |
| Retail(Maximum) | 13 | 2782 | ₹194,740 |
| S-HNI (Minimum) | 14 | 2,996 | ₹209,720 |
| B-HNI (Minimum) | 67 | 14,338 | ₹1,003,660 |
Bajaj Housing Finance IPO Promoter Holding
| Pre Issue Share Holding | 100.00% |
| Post Issue Share Holding |
Bajaj Housing Finance IPO Review
The company is launching its first IPO, which includes a new issue of equity shares worth Rs. 3,560 crore (around 50,85,71,429 shares at the highest price). It is also offering shares for sale worth Rs. 3,000 crore (about 42,85,71,429 shares at the highest price).
On the financial performance front, for the last three fiscals, the company has posted a total income/net profit of Rs. 3767.13 cr. / Rs. 709.62 cr. (FY22), Rs. 5665.44 cr. / Rs. 1257.80 cr. (FY23), and Rs. 7617.71 cr. / Rs. 1731.22 cr. (FY24). For Q1 of FY25 ended on June 30, 2024, it earned a net profit of Rs. 482.61 cr. on a total income of Rs. 2208.73 cr. Thus it marked steady growth in its income and earnings for the reported periods. In fact, the company is the second largest fastest growing housing finance company in India across multiple parameters, as per CRISIL MI&A report.
For the last three fiscals, the company has posted an average EPS of Rs. 2.20 and an average RoNW of 14.3%. The issue is priced at a P/BV of 3.72 based on its NAV of Rs. 18.80 as of June 30, 2024, and at a P/BV of 3.20 based on its post-IPO NAV of Rs. 21.90 per share (at the upper cap).
If we attribute FY25 annualized earnings to its post-IPO fully diluted paid-up equity capital, then the asking price is at a P/E of 30.17. The issue is relatively fully priced.
The company reported NIM (Net Interest Margins) of 4.00% (FY22), 4.50% (FY23), 4.10%% (FY24), 3.90% (Q1-FY25), and RoAE margins of 11.10%, 14.60%, 15.20%, 14.30% for the referred periods, respectively.
Net NPAs of the company stood at 0.11% as of June 30, 2024 against 0.10% as of March 31, 2024. It has posted AUM growth of 37.2% (FY22), 29.8% (FY23), 32.0% (FY24) and 31.0% (Q1-FY25), and its disbursements marked growth of 735% (FY22), 31.2% (FY23), 30.1% (FY24) and 15.6% (Q1-FY25).
According to the offer document, the company has listed LIC Housing Finance, PNB Housing Finance, Can Fin Homes, Aadhar Housing Finance, Aavas Financier, Aptus Value Housing, and Home First Finance as similar companies. Their price-to-earnings (P/E) ratios are 8.01, 17.0, 15.4, 23.9, 27.2, 25.2, and 30.9 as of September 4, 2024. However, these companies aren't completely similar for a fair comparison.
This is the housing finance part of the Bajaj group, which continues the group’s tradition. It is the second biggest and fastest-growing company in this field. The company has shown steady growth in its earnings over the reported periods. Based on the expected earnings for FY25, the stock seems to be priced fairly. This is a long-term investment opportunity, and investors can consider putting in a moderate amount of money to add this company to their portfolio.
Bajaj Housing Finance IPO Subscription Status (Bidding Details)
Table not foundBajaj Housing Finance IPO Broker Recommendations
- Capital Market: To be updated soon
- Anand Rathi: To be updated soon
- SMC Global: To be updated soon
- Arihant Capital: To be updated soon
Bajaj Housing Finance IPO FAQs
What is Bajaj Housing Finance IPO?
Bajaj Housing Finance is issuing 937,142,858 equity shares with a face value of ₹10 each, totaling up to ₹6,560.00 Cr. The shares are being offered at a price of ₹66 to 70 each, with a minimum order quantity of 214 shares.
Kfin Technologies Limited is the registrar for the IPO, and the shares are planned to be listed on the BSE and NSE.
When Bajaj Housing Finance IPO will open?
Bajaj Housing Finance will open on September 9, 2024 for QIB, NII, and Retail Investors.
When Bajaj Housing Finance IPO will end?
Bajaj Housing Finance will end on September 11, 2024.
What is Bajaj Housing Finance IPO Size?
Bajaj Housing Finance IPO size is ₹7,000.00 Cr.
What is Bajaj Housing Finance IPO Price Band?
Bajaj Housing Finance price band is ₹66 to ₹70 per share.
What is the Bajaj Housing Finance IPO Allotment Date?
Bajaj Housing Finance allotment date is September 12, 2024.
What is the Bajaj Housing Finance IPO Listing Date?
Bajaj Housing Finance listing date is September 16, 2024. The IPO is to be listed on BSE and NSE.
How to Bajaj Housing Finance IPO through Zerodha?
To apply for the IPO “Bajaj Housing Finance” on Zerodha, log in to the Zerodha website or app, go to the Portfolio section, and click on IPO. Then, click on the “Apply” button and enter your UPI ID, the desired quantity, and the price. Submit the IPO application form and then approve the mandate on your UPI app. To complete the process, you should have an demat account. If you don't have one, open a demat account with Zerodha.
How to Apply Bajaj Housing Finance IPO through Upstox?
To apply for the IPO “Bajaj Housing Finance” on Upstox, log in to the Upstox website or app, click on IPO. Then, click on the “Apply” button and enter your UPI ID, the desired quantity, and the price. Submit the IPO application form and then approve the mandate on your UPI app. To complete the process, you should have an demat account. If you don't have one, open a demat account with Upstox.
How to check Bajaj Housing Finance IPO Allotment Status?
For Bajaj Housing Finance IPO Allotment status check you can visit this link, select the desired IPO and enter your PAN to check the allotment status.
What is Bajaj Housing Finance IPO GMP?
You can check out here: Bajaj Housing Finance IPO GMP. Check all IPO GMP here.