MULTIBAGGER IPO! Bajaj Housing Finance share price lists with stellar 114% premium at ₹150 apiece

Bajaj Housing Finance share price made a stellar stock market debut on Monday, doubling investors’ money upon listing. Bajaj Housing Finance shares were listed at ₹150 apiece on BSE, a premium of 114.29% to the issue price of ₹70 per share.

On NSE, Bajaj Housing Finance share price began trading with a premium of 114.29% at ₹150 apiece.

Bajaj Housing Finance IPO listing was largely in-line with the Street estimates as analysts expected a strong debut. Bajaj Housing Finance IPO GMP also signalled a listing with multibagger returns.

The stellar listing of Bajaj Housing Finance shares comes on the back of strong demand for its initial public offering (IPO) that received a record amount of subscription exceeding ₹3 lakh crore.

Bajaj Housing Finance IPO was subscribed 63.61 times as it received bids for more than 4,628 crore equity shares, against the 72.75 crore shares offered. Bajaj Housing Finance share applications were valued at nearly ₹3.24 lakh crore.

The bidding for Bajaj Housing Finance IPO began on September 9 and ended on September 11. The IPO allotment was finalized on September 12 and Bajaj Housing Finance IPO listing date was fixed today, Monday, September 16.

Bajaj Housing Finance IPO price band was set at ₹66 to ₹70 per share and the upper-end of the price band, the company raised ₹6,560 crore from the issue which comprised combination of fresh issue of 50.86 crore equity shares worth ₹3,560 crore and an offer-for-sale (OFS) component of 42.86 crore shares worth to ₹3,000 crore.

Kotak Mahindra Capital Company Ltd, Axis Capital, BofA Securities India Ltd, Goldman Sachs (India) Securities, JM Financial, SBI Capital Markets and IIFL Securities are the book running lead managers of the Bajaj Housing Finance IPO, while Kfin Technologies is the IPO registrar.

Bajaj Housing Finance Ltd. is the largest non-deposit-taking HFC promoted by Bajaj Finance Ltd. and has been engaged in mortgage lending since FY18, with an asset under management (AUM) of ₹97,071 crore.

The company’s AUM has grown at a CAGR of 30.9% between FY22 and FY24. Analysts believe Bajaj Housing Finance is well-positioned to capitalize the industry demand and deliver impressive growth in future.

Analysts recommend that investors allotted Bajaj Housing Finance shares to hold their positions from a medium to long-term horizon.

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