HDB Financial Services IPO
IPO Price Range: Not Announced Yet
HDB Financial Services portfolio includes a) secured and unsecured loans to MSMEs for working capital requirements, b) asset financing including commercial vehicles, construction equipment, and tractors, and c) loans for consumer goods such as digital products, vehicles, and personal expenses.
HDB Financial Services IPO to raise ₹12,500 crores that includes a fresh issue of ₹2,500 crore and an offer for sale (OFS) of ₹10,000 crore. HDB Financial Services IPO launch date is yet to be finalized. HDB Financial Services filed the DRHP in October 2024.
IPO Status
Upcoming
Listing Exchange
NSE
HDB Financial Services Brands, Products & Services
| Product | Non-Banking Financial Company |
| Known For | Loans and financial services |
| Top Products | Enterprise Loans, Asset Financing, Consumer Loans |
HDB Financial Services Key Financials
Objectives of HDB Financial Services IPO
Shareholding Pattern
| Promoters | 94.36% | |
| Name | Role | Stakeholding |
| HDFC Bank Limited | Promoter | 94.36% |
| Public | 5.22% | |
| Others | 0.42% |
Listed Competitors of HDB Financial Services
Bajaj Finance
Bajaj Finance offers diverse loans (personal, home, business), EMI financing, insurance, and investments, targeting retail and SMEs with digital solutions.
Shriram Finance
Shriram Finance provides vehicle, business, and personal loans, fixed deposits, and insurance, focusing on rural and underserved markets.
Cholamandalam Investment and Finance Company
Cholamandalam Investment and Finance Company specializes in vehicle, home, and SME loans, leveraging extensive branches for asset-backed financing.
Unlisted Competitors of HDB Financial Services
Tata Capital
Tata Capital offers financial products and services such as personal loans, home loans, business loans, and services like wealth management, private equity, SME financing, leasing, and credit cards.
ICL Fincorp
ICL Fincorp is an NBFC offering gold, vehicle, and asset loans, along with investment and insurance services. It also operates in travel, education, and brokerage, with a presence across India and UAE.
Strengths and Risks of HDB Financial Services IPO
Strengths
Expanding customer base: HDB Financial Services is one of the fastest growing customer franchises with 17.5 million customers as of September 2024. The customer base of the company has grew at an annual rate of 28% between FY22 and FY24.
Diversified product portfolio: HDB Financial Services provides 13 lending products under enterprise lending, asset financing, and consumer loans.
Efficient credit underwriting and collection team: HDB Financial Services has an in-house team of 4,500 underwriters and a collection team of more than 12,000 employees.
Sound credit rating and diversified borrowing sources: The company maintains a top-tier credit rating of AAA stable by CRISIL and CARE. It’s diversified borrowing sources include public, private, foreign banks, mutual funds, insurance companies, and more.
Risks
Impact of macroeconomic factors: Factors such as interest rate fluctuations, inflation, currency fluctuations, credit risk, policies, geopolitical tensions, and more can negatively impact the company’s business.
Risk of NPAs: HDB Financial Services has total gross loans of ₹9,86,24 crore with gross stage 3 loans (NPA) of ₹2,072.7 crore, making around 2.1% of the total gross loans. An increase in the loan defaults can negatively impact the company’s financial performance.
Risk related to unsecured loans: A significant portion of the company’s loan book accounts for unsecured loans. Any loan default can result in financial loss for HDB Financial Services.
Dependence on HDFC Bank as Promoter: HDFC Bank holds over 90% of the company’s shares, having majority of rights over business decisions. A reduction in HDFC Bank’s stake can impact the company’s operations and increase the borrowing cost.
Frequently Asked Questions of HDB Financial Services IPO
What is 'pre-apply' for HDB Financial Services IPO?
'Pre-apply' for HDB Financial Services IPO indicates your interest in the IPO before it opens for subscription. This ensures quick application when the IPO goes live.
What would be the listing gains on the HDB Financial Services IPO?
The potential listing gains on the HDB Financial Services IPO will depend on various market factors and cannot be predicted with certainty.
When will the HBD Financial Services IPO come?
The HBD Financial Services IPO date is not announced yet. It filed the DRHP in October 2024.
What is the HBD Financial Services IPO share price today?
The HBD Financial Services IPO share price is yet to be decided.
What are the open and close dates of the HBD Financial Services IPO?
The HBD Financial Services IPO release date is yet to be declared.
What is the allotment date of the HBD Financial Services IPO?
The HBD Financial Services IPO allotment date has not been announced yet.
Can we invest in the HBD Financial Services IPO?
Yes, once the HBD Financial Services IPO launches, you can invest in the company’s IPO.
What is the lot size of the HBD Financial Services IPO?
The HBD Financial Services IPO lot size is yet to be decided.
What is the issue size of the HBD Financial Services IPO?
The HBD Financial Services IPO issue size is ₹12,500 crore, including a fresh issue of ₹2,500 crore and an offer for sale (OFS) of ₹10,000 crore.