HDB Financial Services IPO to open next week; grey market signals over ₹100 premium

HDB Financial Services IPO: The initial public offering of HDB Financial Services — the non-banking finance arm of HDFC Bank — will commence on June 25 and end on June 27. 

HDB Financial IPO price band will be revealed tomorrow, Friday, June 20. Meanwhile, the anchor investor bidding will take place on Tuesday, June 24.

HDFC Bank announced in its exchange filing today that HDB Financial Services Ltd (HDBFS) has filed a Red Herring Prospectus (RHP) with the Registrar of Companies.

“….we wish to inform you that HDBFS has filed a RHP dated June 19, 2025, with the Registrar of Companies, Gujarat, Dadra and Nagar Haveli at Ahmedabad in connection with its Initial Public Offer (IPO) of equity shares,” said India's largest private sector bank in its filing.

The IPO consists of a fresh issue of ₹2,500 crore along with an offer for sale of ₹10,000 crore from HDFC Bank. The document also indicated that there will be a reservation for subscription by the company’s eligible employees and qualifying HDFC Bank shareholders. Currently, HDFC Bank owns a 94.3% share in HDB Financial ahead of the IPO.

HDB Financial Services operates with 1,680 branches and maintains a diversified asset under management (AUM) portfolio, placing significant emphasis on retail and SME financing. The company’s major loan categories include vehicle financing and loans secured by property.

For the quarter ended March 31, HDB Financial Services reported a profit of 5.3 billion rupees, while its net revenue was recorded at 26.2 billion rupees. According to reports, the company’s total loan portfolio amounted to 1.07 trillion rupees as of the end of March.

Tentatively, HDB Financial Services IPO basis of allotment of shares will be finalised on Monday, June 30, and the company will initiate refunds on Tuesday, July 1, while the shares will be credited to the demat account of allottees on the same day following the refund. HDB Financial Services share price is likely to list on BSE and NSE on Wednesday, July 2.

Grey Market

Based on information from investorgain.com, the minimum grey market premium (GMP) is ₹0.00, and the maximum GMP stands at ₹104.50. Ahead of the company fixing its price band, the current grey market premium (GMP) stands at ₹103.

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