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  1. HDFC Bank share price climbs as subsidiary HDB Financial Services gets SEBI nod for IPO

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HDFC Bank share price climbs as subsidiary HDB Financial Services gets SEBI nod for IPO

Upstox

2 min read | Updated on June 04, 2025, 11:35 IST

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SUMMARY

HDFC Bank share price: HDB Financial Services IPO will consist of a fresh issue of equity shares aggregating to ₹2,500 crore and an offer for sale component of ₹10,000 crore by the promoter, HDFC Bank, as per the preliminary issue papers or draft red herring prospectus (DRHP).

Stock list

HDFC Bank currently holds a 94.36% stake in the non-banking financial company (NBFC) HDB Financial Services.

HDFC Bank currently holds a 94.36% stake in the non-banking financial company (NBFC) HDB Financial Services. | Image: Shutterstock

HDFC Bank share price: Shares of India's largest private lender, HDFC Bank, rose on Wednesday, June 4, after its subsidiary, HDB Financial Services, received the market regulator Securities and Exchange Board of India's (SEBI) nod to float an initial public offering.

The stock climbed 0.77% to ₹1,939.4 apiece on the National Stock Exchange (NSE) at 11:34 am.

Its market capitalisation stands at ₹14,85,746.68 crore.

HDB Financial Services IPO

The proposed HDB Financial Services IPO will consist of a fresh issuance of equity shares aggregating to ₹2,500 crore and an offer for sale component of ₹10,000 crore by the promoter, HDFC Bank, as per the preliminary issue papers or draft red herring prospectus (DRHP).

HDFC Bank currently holds a 94.36% stake in the non-banking financial company (NBFC) HDB Financial Services.

The funds generated will be used to strengthen its Tier-I capital base and support future capital requirements, including additional lending, to support business growth.

The decision to list HDB Financial Services comes after the Reserve Bank of India's mandate in October 2022, which requires NBFCs in the upper layer to hit the secondary market within three years.

The other NBFCs that are likely to float IPOs as per the RBI's requirements include Aditya Birla Finance and Tata Capital Financial Services.

Tata Sons and Piramal Capital and Housing Finance are also required to list on bourses due to RBI identifying them as 'upper layer' NBFCs.

BNP Paribas, JM Financial, Goldman Sachs (India) Securities, BofA Securities India, HSBC Securities and Capital Markets, Jefferies India, Morgan Stanley India, IIFL Securities, Motilal Oswal Investment Advisors, Nuvama Wealth Management, UBS Securities India and Nomura Financial Advisory and Securities are the issue's lead book-running managers.

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