HDB Financial Services IPO: A Key Player in India's Financial Market

HDB Financial Services Ltd, a leading non-banking financial company (NBFC) backed by HDFC Bank, is set to launch its substantial ₹12,500 crore IPO scheduled from June 25 to 27, 2025. This IPO is part of the company's strategic move to further cement its position in the market and expand its financial services portfolio.

With operations divided across Enterprise Lending, Asset Finance, and Consumer Finance, HDB Financial Services is classified as an Upper Layer NBFC by the Reserve Bank of India. As of September 2024, it has served over 17.5 million customers, growing at a CAGR of 28.22% since March 2022, catering to the credit needs of underbanked and middle-class populations through a national phygital distribution model.

The upcoming IPO, structured as a 100% book-built issue, includes a fresh issue of ₹2,500 crore and an offer for sale worth ₹10,000 crore. Priced between ₹700 to ₹740 per share, the IPO seeks to bolster the company's Tier-I capital to support growth and compliance with regulatory capital adequacy norms, as NBFC credit is anticipated to grow significantly, driven by consumer lending and MSME credit needs.

(With inputs from agencies.)