HDB Financial shares list at 13% premium over IPO price

HDB Financial Services made a strong debut on the domestic bourses on Wednesday, with its stock price listing at a 13% premium over the initial public offering (IPO) price. The shares of the NBFC arm of HDFC Bank were listed at ₹835 on the BSE and the NSE, up 12.84% over the issue price of ₹740 apiece, with a market capitalisation of ₹69,268.82 crore.

The listing was better than Street expectations as HDB Financial stock was commanding a grey market premium (GMP) of ₹65 ahead of its debut, indicating a likely listing price of around ₹805, up 8.8% over the IPO price.

Meanwhile, HDFC Bank shares were trading 0.75% lower at ₹1997.10 on the BSE, with a market cap of ₹15.32 lakh crore. Last week, the banking heavyweight touched its 52-week high of 2,027.40 on June 26, which coincided with the opening of HDB Financial Services IPO, which garnered an overwhelming response from investors. HDFC Bank pared stake worth around ₹10,000 crore in the NBFC arm via an offer for sale in the IPO, bringing down its shareholding to 74.19%.

At the time of reporting, the BSE benchmark Sensex was trading 56 points higher at 83,753, while the NSE Nifty was at 25,556, up 15 points, tracking mixed cues from global peers amid lingering concerns about U.S. retrospective tariff. 

The ₹12,500-crore IPO of HDB Financial Services, which opened for subscription between June 24-27, was subscribed 16.69 times as it received bids for over 217.67 crore shares, against the offer size of 13.04 crore shares. It is the most subscribed billion-dollar IPO since Zomato-parent Eternal's public issue in 2021, which was booked over 29 times. In terms of issue size, the HDB Financial IPO was the largest since Hyundai Motor India’s ₹27,000-crore issue last year.

The HDB Financial IPO was subscribed 55.47 times in the qualified institutional buyer (QIB) segment, while the portions set aside for non-institutional investors (NII) and retail investors were booked 9.99 times and 1.41 times, respectively. The portion reserved for employees was booked 5.72 times, while the quota reserved for shareholders was subscribed 4.26 times.

Established in 2007 as a subsidiary of HDFC Bank, HDB Financial Services has evolved into one of India’s largest NBFCs with a gross loan book of ₹1.07 lakh crore as of March 2025. The NBFC offers a wide variety of lending products, primarily catering to underbanked customers representing low- to middle-income households with minimal or no credit history. Currently, HDB Financial Services serves over 19 million customers through 1,770 branches across 31 states and Uunion territories, with assets under management (AUM) exceeding ₹1.1 lakh crore.

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