Bajaj Housing Finance Ltd. has announced to enter the capital market with an initial public offering (IPO) in the price band of ₹66-70 per share to raise up to ₹6,560 crore.
The IPO of shares (face value of ₹10 each) comprises a fresh issue aggregating up to ₹3,560 crore and an offer for sale (OFS) of up to ₹3,000 crore by promoter selling shareholder Bajaj Finance Ltd.
The issue will open on September 9 and close on September 11.
Bids can be made for a minimum of 214 equity shares and in multiples of 214 shares thereafter. For subscription by employees, the reservation portion includes shares aggregating up to ₹200 crore, and for shareholders of Bajaj Finance Ltd. and Bajaj Finserv Ltd., the reservation portion includes shares aggregating up to ₹500 crore, the company said.
The company, a 100% subsidiary of Bajaj Finance Ltd, intends to utilise the net proceeds of fresh issue towards augmenting its capital base to meet future business requirements of the company towards onward lending.
Classified as an ‘upper-layer NBFC’ by RBI as per the scale-based regulations, Bajaj Housing Finance offers finance to individuals as well as corporate entities for the purchase and renovation of homes, or commercial spaces.
The Pune-based company also provides loans against property for business or personal needs as well as working capital for business expansion purposes. Besides this, it offers finance to developers engaged in the construction of residential and commercial properties as well as lease rental discounting to developers and high-networth individuals.
