The Bajaj Housing Finance IPO: A Step-by-Step Guide

Bajaj Housing Finance, a National Housing Bank-registered HFC, provides a variety of financing options for home and commercial space purchases and renovations. This includes loans for business and personal needs, as well as financing for developers constructing residential or commercial properties. 

Additionally, rental discounting is available for developers and HNIs. The company’s IPO is scheduled to launch from 9th September to 11th September 2024, serving as a means to fortify its capital base for future growth. Continue reading for further details on this upcoming IPO.

Objectives of the IPO  

Bajaj Housing Finance’s IPO is primarily intended to expand the company’s capital base to support future business growth. Net proceeds will be used to strengthen its financial position.

Bajaj Housing Finance IPO Details 

Restated Financial Information Summary 

The company has displayed significant growth over the past three financial years, with a net worth of ₹1,22,335.0 Cr. as of 31st March 2024. This reflects an increase from the previous year’s net worth of ₹1,05,031.9 Cr. and a substantial rise from ₹67,413.6 Cr. in March 2022. 

Furthermore, the profit for the year saw an increase to ₹17,312.2 Cr. in 2024 from ₹7,096.2 Cr. in 2022. The net asset value per equity share also rose to ₹18.2, up from ₹15.6 last year and ₹13.8 two years ago.

Company Strengths 

Bajaj Housing Finance benefits from the following strengths  

• Bajaj Housing Finance benefits from the strong brand equity of the “Bajaj” brand, which is widely recognised as a reliable retail name.   

• Ranked as the second-largest HFC in India by AUM, driven by a diversified portfolio and strong growth track record.   

• Strategic presence with an omnichannel sourcing approach, enhanced by customer-focused digitisation and technology initiatives.   

• Well-defined credit evaluation and risk management practices, resulting in the lowest GNPA and NNPA among peers in Fiscal 2024.   

• Access to diversified and cost-effective borrowing sources, supported by top-tier credit ratings from rating agencies.   

• Experienced management team complemented by a skilled workforce and the ability to attract and retain talent. 

How can you invest in Bajaj Housing Finance’s IPO with HDFC Sky’s One-click IPO feature? 

You can conveniently invest in upcoming IPOs with HDFC Sky’s One-Click IPO feature. To apply, you need a trading account with HDFC Sky. Here’s how you can apply: 

1. Launch the app and navigate to ‘Menu’. 
2. Under ‘Indian Stocks’, tap on ‘IPO’. All the IPOs currently accepting applications will be listed under the ‘OPEN’ section. 
3. Select the Bajaj Housing Finance IPO.  
4. Review the IPO details and tap on ‘Apply for IPO’. 
5. Enter the number of shares and place a custom bid price.  
6. After placing the bid, select ‘Proceed to Pay’. 
7. Enter the UPI ID linked to the registered bank account. 
8. Open the UPI app and accept the mandate request within the cut-off time. 

A confirmation will be displayed on the screen upon successful IPO application. To track your IPO application, go to Menu > Indian Stocks > IPO > Applied.  

Conclusion 

The Bajaj Housing Finance IPO presents a compelling opportunity for investors looking to invest in a growing housing finance company with a strong financial track record. The upcoming IPO helps the company strengthen its capital base and allows investors to gain early access to a growing sector. Additionally, through HDFC Sky’s One-Click IPO feature, you can seamlessly participate in this offering with a few simple steps. 

HDFC Sky is a stock trading app from HDFC Securities. The app allows you to invest in the stock market through buying and selling shares, mutual fund investments, futures and options trading, and more. You can register on the app using your mobile number and open a Demat and Trading Account.