HDB Financial Services IPO: Key Dates, Price Band, and What Investors Should Know
HDB Financial Services Limited, a subsidiary of HDFC Bank, is gearing up to launch one of the most anticipated IPOs of 2025. With strong financials and a significant presence in India’s retail lending sector, the company is set to open its public issue this June. Here’s everything you need to know about the HDB Finance IPO, including its structure, pricing, allotment, objectives, and a company overview. We will also explore how HDFC Sky’s innovative ‘One-Click IPO’ feature simplifies the application process for a seamless investment experience.
IPO Opening and Closing Dates
The HDB Financial Services IPO will open for public subscription on Wednesday, June 25, 2025, and close on Friday, June 27, 2025. The basis of allotment will be finalized by Monday, June 30, and shares are expected to be credited to demat accounts on Tuesday, July 1. The listing on BSE and NSE is tentatively scheduled for Wednesday, July 2, 2025. This timeline is part of the scheduled process for the upcoming IPO.
Price Band and Lot Size
- Price Band: ₹700 to ₹740 per equity share
- Face Value: ₹10 per share
- Lot Size: Minimum 20 shares and in multiples of 20 thereafter
- Minimum Investment (Retail): ₹14,800 (at the cut-off price)
- Retail Investor Maximum Application: 13 lots or 260 shares (approximately ₹1,92,400)
Issue Size and Structure
The IPO will comprise a total issue size of ₹12,500 crore, including:
- Fresh Issue: ₹2,500 crore (3.38 crore equity shares)
- Offer for Sale (OFS): ₹10,000 crore (13.51 crore equity shares)
This combination allows the company to raise new capital while enabling HDFC Bank to reduce its stake from 94.32% to 74.19% post-issue. Investors can apply for the issue conveniently using a reliable stock trading app, ensuring quick access and real-time updates.
Category-wise Reservation
A well-diversified allocation model has been adopted:
- Qualified Institutional Buyers (QIBs): Up to 50% of the net offer
- Non-Institutional Investors (NIIs): Not less than 15%
- Retail Individual Investors (RIIs): Not less than 35%
- Employees and HDFC Bank Shareholders: A portion of equity shares aggregating up to ₹200 crore and ₹1,250 crore, respectively
Retail investors planning for long-term financial goals can also explore tools like HDFC Sky’s SIP Calculator to assess investment potential and returns over time.
Company Overview
Founded in 2007, HDB Financial Services is now India’s seventh-largest retail-focused Non-Banking Financial Company (NBFC). The company offers a broad spectrum of secured and unsecured lending products tailored for underbanked segments across urban and semi-urban India.
As of March 31, 2025:
- Gross Loan Book: ₹1,068.8 billion (₹1.06 lakh crore), up from ₹902.2 billion in FY24
- Assets Under Management (AUM): ₹1,072.6 billion
- Profit After Tax (PAT): ₹21.8 billion
- CAGR (FY23–FY25):
- Gross Loans: 23.54%
- AUM: 23.71%
- PAT: 5.38%
Business Segments
HDB’s operations are classified into three major verticals:
- Enterprise Lending: Loans to MSMEs and salaried professionals
- Asset Finance: Financing for vehicles, equipment, and tractors
- Consumer Loans: Credit for personal and lifestyle needs
Objectives of the HDB Financial IPO
The primary objective of the HDB Financial Services IPO is to strengthen the company’s financial foundation for sustained growth. According to the Draft Red Herring Prospectus (DRHP), the net proceeds from the issue will primarily be used to augment HDB’s Tier-I capital base.
This capital infusion will help the company meet its future capital requirements across various business verticals, specifically supporting onward lending activities and enhancing operations in the Enterprise Lending, Asset Finance, and Consumer Finance segments.
HDB Financial Services Limited IPO Strengths
HDB serves over 17.5 million customers with a 28.22% CAGR, focusing on underbanked, credit-thin profiles. Its granular, small-ticket retail loan book shows low concentration risk and sustainable growth.
- With ₹986.2 billion in loans across 13 products, 71.08% asset-backed, and no product exceeding 25% share, HDB demonstrates prudent diversification and strong, cycle-tested lending growth.
- HDB operates 1,772 branches across 31 states, backed by 140,000+ dealer points, 80+ OEM tie-ups, and 6.9 million app downloads. Its omni-channel strategy ensures strong urban and rural reach.
- With a GNPA of 1.90%, HDB’s credit framework includes digital onboarding, scorecards, 4,500 underwriters, and 12,000+ collections staff, ensuring scalable and disciplined credit operations.
- Advanced digital tools, AI-based decision-making, and scalable systems enhance sourcing, cross-selling, and collections, driving performance and customer experience.
- HDB’s loan book grew at 20.93% CAGR, with PAT rising at 55.98% CAGR, supported by fee income, interest growth, and cost discipline.
- Led by seasoned leaders with over 25 years’ experience, HDB’s strategic vision is driven by a skilled, long-tenured workforce.
How to Apply for the HDB Financial IPO Using HDFC Sky’s One-Click Feature
HDFC Sky offers a simplified IPO application process through its One-Click IPO feature, ensuring a smooth, paperless, and efficient experience for investors.
If you’re planning to invest in the HDB Financial Services IPO, here’s a step-by-step guide to help you apply effortlessly:
- Log in to HDFC Sky: Sign in using your credentials.
- Navigate to IPO Section: Go to your profile, click on "Indian Stocks," and open the "IPO" tab.
- Choose the IPO: Find the HDB Financial Services IPO in the list and select “Apply Now.”
- Enter Bid Details: Fill in your bid amount and review your application.
- Select Payment Option: Choose UPI as your payment method and proceed.
- Approve Mandate: Open your UPI app and approve the payment request.
- Submit Application: Confirm and submit your application.
Why Opt for HDFC Sky’s One-Click IPO Feature?
- Quick Process: Apply with just one click—no paperwork required.
- Real-Time Notifications: Stay informed with instant updates on allotment and refunds.
- Central Dashboard: Track all IPO applications in one place.
- Cross-Platform Access: Apply anytime through HDFC Sky’s mobile app or web portal.
With HDFC Sky’s One-Click feature, investing in the HDB Financial IPO becomes faster, easier, and more reliable.
Note to readers: This article is part of HT’s paid consumer connect initiative and is independently created by the brand. HT assumes no editorial responsibility for the content, including its accuracy, completeness, or any errors or omissions. Readers are advised to verify all information independently.
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