Investors are responding well to Bajaj Housing Finance’s initial public offering (IPO), as the deal closed on the first day of bidding. The likelihood of receiving an allotment under the retail category may decrease as demand for the IPO rises.
Nonetheless, investors who wish to increase their chances of receiving an allocation may do so by applying under the shareholders category, a special quota.
Investors that apply under the retail portion of the issuance alone will have a reduced chance of being allocated. To increase the likelihood of receiving an allotment, it is advised that shareholders of Bajaj Finance or Bajaj Finserv apply for the IPO in both the retail and shareholders category.
Depending on the amount of money they have available, investors who meet the requirements for the shareholder category may select any one of the three possibilities. Applying under the following categories: i) shareholder plus retail; ii) shareholder plus small HNI; or iii) shareholder plus large HNI.
It is advisable to choose the shareholders’ category over the retail component if investors have the funds to bid on only one lot, as the latter is probably going to experience more demand. Details of the minimum bid Investors should be aware that the shareholders category will only take into account bids that are at or above the offer price. Investors may bid up to Rs 2 lakh for more than 2,000 shares divided into 13 lots under this. On the other hand, a retail investor can only place a bid of up to Rs 14,980 for a single lot of 270 shares.
Prediction for September 11
Today, Thursday, September 11, is the penultimate day of bidding for Bajaj Housing Finance’s massive initial public offering (IPO), which saw a record-breaking subscription over the previous two days. Investors will be watching to see if the IPO concludes with a total subscription of Rs 1 lakh crore today, because demand for the public half of the issue has already surpassed Rs 38,000 crore.
By the end of Day 2 of bidding yesterday, the Rs 6,560-crore public issue of Bajaj Housing Finance has already been subscribed over 7.5 times, mostly due to the non-institutional investors’ (NII) ongoing strong demand. Qualified institutional buyers (QIBs), who have already subscribed 7.46 times their reserved part of the Bajaj Housing Finance IPO, will be the focus of attention today.
Out of the Rs 6,560 crore total issue size, Bajaj Housing Finance was able to successfully acquire Rs 1,758 crore from anchor investors last week, leaving Rs 4,802 crore available for public subscription. The total subscription amount could reach Rs 1 lakh crore if the public portion of the issuance is subscribed at least 21 times.
ABOUT BAJAJ FINSERV
Durable Finance: Customers can use the Bajaj Finserv EMI Network to obtain up to Rs. 4 lakh as a financing option for the purchase of appliances such as air conditioners, washing machines, refrigerators, LED TVs, microwaves, and furniture. Customers can choose from a convenient tenor and easy repayment options, with up to 100% financing available for purchases at zero or low interest rates.
Lifestyle Finance: Easy-to-apply-for loans that provide hassle-free access to reasonably priced luxury with convenient payment options are available for the purchase of food, personal appliances, home appliances, fashion accessories, travel, healthcare, fitness, and health.
Digital Product Finance: Through the Bajaj Finserv EMI Network, consumers may purchase goods at reasonable prices. Customers may simply stroll into partner stores with more than 80,000 locations, choose from the electronics, mobile,
A subsidiary of Bajaj Finserv Ltd., Bajaj Finance Ltd. (also known as “BFL,” “Bajaj Finance,” or “the Company”) is an NBFC-D (deposit-taking non-banking financial company) that is registered with the Reserve Bank of India (RBI) and is categorized as an NBFC-Investment and Credit Company (NBFC-ICC). BFL is a company that deals with deposit acceptance and lending.
With a substantial presence in both urban and rural India, it offers a diverse loan portfolio to retail, SMEs, and commercial clients. In addition to providing a range of financial services products to its clientele, it takes deposits from both individuals and businesses. With 35 years of experience, BFL has emerged as a major force in India’s non-bank financial services industry, with 69.14 million franchised consumers nationwide.
About the Author
