Bajaj Housing Finance IPO: Record Subscription and Anticipated Listing Gains on September 16, 2024

Bajaj Housing Finance IPO has become a hot topic in the Indian stock market. This initial public offering (IPO) opened for subscription from September 9 to September 11, 2024, and raised a staggering ₹6,560 crore. This makes it one of the largest IPOs in Indian history, capturing the attention of investors and analysts alike. With a remarkable subscription rate of 67.4 times, the IPO has generated immense enthusiasm, setting the stage for a highly anticipated listing on September 16, 2024.

Unprecedented Investor Interest

The response to the Bajaj Housing Finance IPO has been nothing short of phenomenal. The total bids exceeded ₹3.24 lakh crore, which is over 1% of India’s GDP. This level of interest surpasses previous records, including the Coal India IPO in 2008, which had a subscription of ₹2.36 lakh crore. Such overwhelming demand indicates strong market confidence in Bajaj Housing Finance’s business model and growth potential.

The IPO saw significant participation from various investor categories. Qualified Institutional Buyers (QIBs) led the charge, with their portion being oversubscribed by more than 200 times. Non-Institutional Investors (NIIs) also showed robust interest, with their segment subscribed 41.51 times. Retail Individual Investors (RIIs) participated as well, with a subscription rate of over 7 times. This broad interest reflects the strong fundamentals of Bajaj Housing Finance and its backing from the well-established Bajaj Group.

Bajaj Housing Finance IPO Overview and Subscription Details

Bajaj Housing Finance’s IPO consists of a fresh issue of ₹3,560 crore and an offer for sale of ₹3,000 crore. The price band for the shares is set between ₹66 and ₹70, with a minimum lot size of 214 shares, amounting to ₹14,980 for retail investors. The IPO was met with overwhelming interest, achieving a subscription rate of 67.38 times, with retail investors showing particularly strong demand. This level of subscription is noteworthy, especially considering it represents over 1% of India’s nominal GDP for the fiscal year 2023-24, which is estimated at ₹295.36 lakh crore.

Bajaj Housing Finance IPO Current Grey Market Premium (GMP)

As of now, the GMP for Bajaj Housing Finance shares is reported at ₹79, which translates to a remarkable 113% premium over the upper end of the issue price. This high GMP indicates that investors could potentially see their investments double on the listing day. The excitement surrounding the IPO reflects not only the company’s strong fundamentals but also the robust backing from the Bajaj Group, one of India’s most reputable conglomerates.

Bajaj Housing Finance IPO Factors Driving Investor Interest

Several factors contribute to the strong investor interest in Bajaj Housing Finance:

1. Established Reputation: Being part of the Bajaj Group, the company benefits from a long-standing reputation and trust in the financial sector.
2. Diverse Product Range: Bajaj Housing Finance offers a wide array of mortgage products, including home loans, loans against property, and financing for developers. This diversification helps in catering to various customer segments, from individual home buyers to large property developers.
3. Strong Financial Performance: The company reported a 34% increase in revenue and a 38% rise in profit after tax for the fiscal year ending March 31, 2024. Such growth metrics bolster investor confidence in the company’s future prospects.
4. Market Sentiment: The overall positive sentiment in the stock market, coupled with the impressive subscription figures, has created a buzz around the IPO, making it a hot topic among retail investors.

Bajaj Housing Finance IPO Listing Date and Expectations

Bajaj Housing Finance shares are set to list on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) at 10 AM on September 16, 2024. Market analysts and brokerages are optimistic about a positive debut, with many predicting that the shares will open significantly higher than the issue price due to the current GMP.

How to Check Bajaj Housing Finance IPO Allotment Status

Investors who applied for the Bajaj Housing Finance IPO can check their allotment status through the BSE website or the registrar’s site. Here’s how:

Bajaj Housing Finance IPO Checking Allotment on BSE

1. Visit the BSE website.
2. Select the issue type as “Equity.”
3. Choose “Bajaj Housing Finance Limited” from the dropdown.
4. Enter your application number and PAN.
5. Complete the captcha and submit.

Checking Allotment through Kfin Technologies

1. Go to the Kfin Technologies website.
2. Select Bajaj Housing Finance IPO.
3. Enter your PAN details and click search.

This process allows investors to confirm whether they have received shares and to prepare for potential refunds if they were not allotted shares.