BHFL is gearing up for its Initial Public Offering (IPO), with plans to raise up to ₹70,000 million. This includes a fresh issue of equity shares aggregating up to ₹40,000 million, along with an offer for sale by Bajaj Finance Limited, aggregating up to ₹30,000 million. The equity shares are set to be listed on both the BSE Limited (BSE) and the National Stock Exchange of India Limited (NSE), marking a major milestone in the company’s growth journey.
Bajaj Housing Finance is stepping into a competitive landscape dominated by industry giants like Indiabulls Housing Finance, LIC Housing Finance, Piramal Capital and Housing Finance, and PNB Housing Finance.
These companies, with average assets under management (AUMs) exceeding ₹50,000 crore in FY22 and FY23, have established a strong foothold in the market. However, Bajaj Housing Finance is not far behind, already securing its place in the upper tier of this hierarchy, signaling its potential to compete with the best in the sector.
Bajaj Housing Finance IPO Date & Price Band Details
| IPO Open Date | To be announced |
| IPO Close Date | To be announced |
| IPO Size | Up to ₹70,000 million |
| Fresh Issue Size | Up to ₹40,000 million |
| Offer for Sale Size | Up to ₹30,000 million |
| Face Value | ₹10 per equity share |
| IPO Price Band | To be decided and advertised before the opening date |
| Retail Quota | Not less than 35% of the Net Offer |
| QIB Quota | Not more than 50% of the Net Offer |
| NII Quota | Not less than 15% of the Net Offer |
Bajaj Housing Finance IPO Dates
The BHFL IPO will open on * and close on *. The allotment of shares is scheduled for *, and the IPO is expected to list on the market on *.
| PO Open Date: | TBA |
| IPO Close Date: | TBA |
| Basis of Allotment: | TBA |
| Refunds: | TBA |
| Credit to Demat Account: | TBA |
| IPO Listing Date: | TBA |
Bajaj Housing Finance IPO Lot Size
Investors can bid for a minimum of 1,600 shares and in multiples thereof. The table below illustrates the minimum and maximum investment requirements for retail investors and High Net Worth Individuals (HNIs) in terms of shares and the corresponding amounts.
| Application | Lot Size | Shares | Amount |
| Retail Minimum | 1 | – | ₹- |
| Retail Maximum | 13 | – | ₹- |
| S-HNI Minimum | 14 | – | ₹- |
| B-HNI Minimum | 68 | – | ₹- |
About Bajaj Housing Finance
Bajaj Housing Finance Limited (BHFL), a key player in the Indian housing finance sector, has a strong foundation rooted in its incorporation under the Companies Act of 1956. Originally established as ‘Bajaj Financial Solutions Limited’ on June 13, 2008, the company was rebranded to ‘Bajaj Housing Finance Limited’ on November 14, 2014. BHFL received its certificate of registration from the National Housing Bank (NHB) on September 24, 2015, further solidifying its position in the industry.
BHFL operates out of its registered office located at the Bajaj Auto Limited Complex, Mumbai-Pune Road, Akurdi, Pune, Maharashtra, with its corporate office situated at Cerebrum IT Park, Kalyani Nagar, Pune. The company is backed by prominent promoters—Bajaj Finance Limited and Bajaj Finserv Limited—who bring a wealth of experience and financial strength to the table.
Read More: Know Orient Technologies IPO Price, Date, Listing
Risk Factors for Bajaj Housing Finance IPO
The Risk Factors section of the Draft Red Herring Prospectus for Bajaj Housing Finance Limited (BHFL) highlights several critical risks that potential investors should carefully consider before participating in the company’s first public issue of equity shares.
Market Risks: As this is BHFL’s debut public issue, there is currently no formal market for the equity shares. There is no assurance that active or sustained trading will develop, or what the trading price of the shares will be after they are listed.
Investment Risks: Investing in equity and equity-related securities inherently carries a degree of risk. Prospective investors should be prepared for the possibility of losing their entire investment, making it essential to evaluate their risk tolerance before investing.
Regulatory Risks: The equity shares offered have not been recommended or approved by the Securities and Exchange Board of India (SEBI). Additionally, SEBI does not guarantee the accuracy or adequacy of the information provided in the Draft Red Herring Prospectus.
Company-Specific Risks: While BHFL and the promoter selling shareholder take responsibility for the information provided in the prospectus, there are no guarantees regarding the success of the offer or the listing of the equity shares on the stock exchanges.
These risks underscore the importance of thorough due diligence and careful consideration by potential investors. Investing in new equity issues can be lucrative but also comes with significant uncertainty, particularly for first-time issuers like BHFL.
Bajaj Housing Finance Objectives
Augmenting their capital base to meet future business requirements of the Company towards onward lending
General corporate purposes
Bajaj Housing Finance Financial Report
Here is a formatted table of the assets, liabilities, and equity for Bajaj Housing Finance Limited as of March 31, 2024, 2023, and 2022:
| Particulars | Note No. | As at 31 March 2024 | As at 31 March 2023 | As at 31 March 2022 |
|---|---|---|---|---|
| ASSETS | ||||
| Financial assets | ||||
| Cash and cash equivalents | 5 | ₹638.6 million | ₹938.8 million | ₹4,070.3 million |
| Bank balances other than cash and cash equivalents | 6 | ₹1.5 million | ₹149.9 million | ₹1.4 million |
| Derivative financial instruments | 7 | ₹116.6 million | ₹13.7 million | – |
| Receivables | 8 | – | – | – |
| Trade receivables | ₹133.6 million | ₹15.9 million | ₹18.7 million | |
| Other receivables | – | ₹3.6 million | ₹0.1 million | |
| Loans | 9 | ₹793,007.5 million | ₹621,138.9 million | ₹464,820.7 million |
| Investments | 10 | ₹19,385.7 million | ₹20,009.1 million | ₹12,482.7 million |
| Other financial assets | 11 | ₹2,840.7 million | ₹3,019.4 million | ₹2,539.3 million |
| Total financial assets | ₹816,124.2 million | ₹645,289.3 million | ₹483,933.2 million | |
| Non-financial assets | ||||
| Current tax assets (net) | 12 | ₹310.9 million | ₹39.7 million | ₹90.8 million |
| Deferred tax assets (net) | 12 | ₹509.4 million | – | ₹155.8 million |
| Property, plant and equipment | 13 | ₹875.0 million | ₹849.2 million | ₹780.9 million |
| Intangible assets under development | 13 | ₹8.7 million | ₹3.1 million | ₹14.6 million |
| Other intangible assets | 13 | ₹353.6 million | ₹280.7 million | ₹191.1 million |
| Other non-financial assets | 14 | ₹89.1 million | ₹79.4 million | ₹104.4 million |
| Total non-financial assets | ₹2,146.7 million | ₹1,252.1 million | ₹1,337.6 million | |
| Total assets | ₹818,270.9 million | ₹646,541.4 million | ₹485,270.8 million | |
| LIABILITIES AND EQUITY | ||||
| LIABILITIES | ||||
| Financial liabilities | ||||
| Derivative financial instruments | 7 | ₹8.3 million | – | – |
| Payables | 15 | |||
| Trade payables | – | – | ₹1.8 million | |
| ₹576.1 million | ₹459.3 million | ₹362.3 million | ||
| Other payables | – | – | – | |
| ₹827.5 million | ₹730.4 million | ₹381.7 million | ||
| Debt securities | 16 | ₹266,453.3 million | ₹199,149.2 million | ₹164,891.5 million |
| Borrowings (other than debt securities) | 17 | ₹422,997.3 million | ₹336,547.0 million | ₹244,931.7 million |
| Deposits | 18 | ₹1,842.6 million | ₹1,757.7 million | ₹5,100.0 million |
| Other financial liabilities | 19 | ₹2,341.4 million | ₹2,116.2 million | ₹1,744.2 million |
| Total financial liabilities | ₹695,046.5 million | ₹540,759.8 million | ₹417,413.2 million | |
| Non-financial liabilities | ||||
| Current tax liabilities (net) | 12 | ₹259.3 million | ₹161.7 million | ₹200.6 million |
| Provisions | 20 | ₹356.4 million | ₹156.3 million | ₹40.5 million |
| Deferred tax liabilities (net) | 12 | – | ₹282.7 million | – |
| Other non-financial liabilities | 21 | ₹273.7 million | ₹149.0 million | ₹202.9 million |
| Total non-financial liabilities | ₹889.4 million | ₹749.7 million | ₹444.0 million | |
| EQUITY | ||||
| Equity share capital | 22 | ₹67,121.6 million | ₹67,121.6 million | ₹48,833.3 million |
| Other equity | 23 | ₹55,213.4 million | ₹37,910.3 million | ₹18,580.3 million |
| Total equity | ₹122,335.0 million | ₹105,031.9 million | ₹67,413.6 million | |
| Total liabilities and equity | ₹818,270.9 million | ₹646,541.4 million | ₹485,270.8 million |
Bajaj Housing Finance Peer Group
HDFC Ltd.: As one of the largest and most trusted housing finance companies in India, HDFC Ltd. has set a benchmark for others in the industry with its extensive reach and strong customer base.
LIC Housing Finance Ltd.: A key player in the housing finance market, LIC Housing Finance Ltd. leverages the trust and reputation of its parent company, Life Insurance Corporation of India, to serve a vast clientele across the country.
PNB Housing Finance Ltd.: Another major entity in the sector, PNB Housing Finance Ltd. is known for its robust portfolio of housing finance products, catering to diverse customer needs.
Indiabulls Housing Finance Ltd.: Renowned for its comprehensive housing finance services, Indiabulls Housing Finance Ltd. has built a strong presence in the market, offering a range of solutions to homebuyers.
These companies represent the competitive landscape in which Bajaj Housing Finance Limited is striving to establish its mark. With these industry giants as peers, BHFL is entering a sector characterized by intense competition and significant opportunities.
| BHFL IPO Prospectus | Bajaj Housing Finance IPO DRHP |
| BHFL Contact Details | BHFL IPO Registrar |
| Bajaj Housing Finance Limited5th Floor, B2, Cerebrum IT Park, Kumar City, Kalyani Nagar, Pune 411014, Maharashtra, IndiaPhone: 020 71878060Email: bhflinvestor.service@bajajfinserv.inWebsite: www.bajajhousingfinance.in | KFin Technologies LimitedPhone: +91 40 67162222/ 18003094001Email: : bhfl.ipo@kfintech.comWebsite: www.kfintech.com |