HDB Financial Services, a subsidiary of the country's largest private bank HDFC Bank, is planning to bring an Initial Public Offering (IPO). The IPO includes a fresh issue of equity shares worth up to Rs 2,500 crore and an offer for sale (OFS) by existing and eligible shareholders. HDB Financial Services said in a statement that it will depend on the approval of the company's shareholders, market conditions, receipt of applicable approvals, regulatory clearance and other things.

According to reports, the IPO is expected to get a valuation of around $7-8 billion and its listing can be seen by December or by the end of the current financial year. HDFC Bank, which holds a 94.64% stake in the non-financial company, is in the process of making a list of bankers for the issue.

Who will be the advisors According to a Moneycontrol report, HDB Financial Services has appointed 4 investment banks as advisors for its IPO, including Jefferies, JM Financial, Morgan Stanley and Nomura. According to the circular issued by the Reserve Bank in October 2022, HDB Financial Services is required to be listed as an "upper layer" NBFC. RBI rule According to the RBI, all "upper layer" NBFCs are required to be listed within three years of the notification, i.e. by September 2025. Bajaj Housing Finance also falls in this category, which will soon start the process of going public. HDFC Bank reported a profit of Rs 16,175 crore in Q1 FY25, down 2% from Rs 16,511.9 crore in the previous quarter. Net interest income grew 2.6% in the quarter. Shares of HDFC Bank Ltd closed nearly 2% higher at Rs 1,737.20 per share on the NSE.