Bajaj Housing Finance No Longer A Wholly Owned Subsidiary Of Bajaj Finance Following Successful IPO
While parent company Bajaj Finance's stake in Bajaj Housing Finance dipped to 88.75%, it received Rs 2,999 crore against the share transfer.
Bajaj Housing Finance Ltd. has ceased to be a wholly owned subsidiary of Bajaj Finance Ltd. after its initial public offering this week.
Bajaj Finance, which was a wholly-owned subsidiary of Bajaj Finserv Ltd., has allotted 50.85 crore shares to the successful IPO bidders, the company said in an exchange filing on Friday. The parent company approved the transfer of 42.85 crore shares to the successful bidders.
The offer price for shares of Bajaj Housing Finance was set at Rs 70.
Following the IPO, while parent company Bajaj Finance's stake in Bajaj Housing Finance decreased to 88.75%, it received Rs 2,999 crore against the share transfer.
Bajaj Housing Finance's initial public offering was subscribed to 63.61 times on its third and final day on Wednesday, led by institutional investors. The issue was subscribed 7.51 times on its second day and 2.02 times on the first day. The shares of the lending firm will list on Sept. 16, 2024.
The company had opted for an IPO in order to comply with the Reserve Bank of India's listing requirement norms.
Bajaj Housing Finance primarily focusses on providing mortgage loans to upper-end individual home buyers, as well as large-scale developers in India. The company has an extensive distribution network of 215 branches as of June 30.
Shares of Bajaj Finance closed 2.31% higher at Rs 7,597. This compares to a 0.09% decline in the BSE Sensex index.
