Bajaj Housing Finance shares slip 6% as 3-month lock-in period for anchor investors ends today; all you need to know

The initial public offering (IPO) of Bajaj Housing Finance, which was launched in September, was a blockbuster hit as the issue received a bumper demand from investors.

The ₹6,560 crore initial public offer received 63.60 times subscription, thanks to overwhelming participation from institutional buyers.

The initial share sale got bids for 46,27,48,43,832 shares against 72,75,75,756 shares on offer, according to NSE data.

The qualified institutional buyers (QIBs) part subscribed a staggering 209.36 times, while the non-institutional investors quota received 41.50 times subscription. The category for Retail Individual Investors (RIIs) obtained a 7.02 times subscription. 

The price band for the offer was ₹66-₹70 per share.

It must be noted that the public issue of Bajaj Housing Finance was fully subscribed within hours of opening for bidding. 

Bajaj Housing Finance had collected ₹1,758 crore from anchor investors.

The IPO had a fresh issue of equity shares of up to ₹3,560 crore and an offer-for-sale (OFS) of equity shares to the tune of ₹3,000 crore by parent Bajaj Finance.

The share sale was conducted to comply with the Reserve Bank of India's (RBI) regulations, which require upper-layer non-banking finance companies to be listed on stock exchanges by September 2025.

Bajaj Housing Finance stock performance

Shares of Bajaj Housing Finance are currently trading 102% (as of Wednesday's close) higher from the upper band of the IPO price of ₹70. The stock hit a high of ₹188.45 on September 18.

Bajaj Housing Finance Q2 FY25 Results

Bajaj Housing Finance reported a 21% growth in net profit to ₹546 crore in the September quarter.

The housing finance company had recorded a net profit of ₹451 crore in the same quarter a year ago.

This was the first quarterly number after the company's listing last month on stock exchanges.

Total income increased to ₹2,410 crore during the quarter under review from ₹1,912 crore a year earlier, Bajaj Housing Finance said in a regulatory filing.

The company earned an interest income of ₹2,227 crore during the quarter, compared to ₹1,782 crore in the same period a year ago.

Asset quality of the company worsened with gross non-performing assets declining to 0.29% of the gross loans by the end of September 2024 from 0.24% a year ago.