HDB to enter capital market on June 25

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HDB Financial Services Ltd, a retail-centric non-banking finance company (NBFC), is making its entry into the stock market with an Initial Public Offering (IPO) of Rs 12,500 crore. The issue opens on June 25 and closes on June 27. With a price band of Rs 700–740 per share, the issue marks one of the largest IPOs in recent year.

Karthik Srinivasan, Chief Business Officer at HDB Financial Services, said, “This IPO is not just a fund-raiser. It’s a defining moment for us—a milestone in our journey to widen financial inclusion. We are built for Bharat, for the aspirations that rise outside metros.

HDB operates across three business verticals — enterprise lending (39 per cent), asset finance (38 per cent) and consumer finance (23 per cent). The company has seen three-to-four full credit cycles, which the management views as critical in shaping a ‘well-seasoned book’.

“Our strength lies in a granular portfolio. The top customers of ours make up less than 0.35 per cent of our loan book,” said Vishal Patel, Head of Investor Relations at HDB Financial Services. “That reflects our cautious and diversified lending approach,” he added.

In response to market concerns, Krishma Amin, Director of Investment Banking at JM Financial, said, “Despite geopolitical volatility, India’s capital markets remain deep and resilient. We’ve priced the issue conservatively to ensure long-term value creation.”

 

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