HDB Financial IPO Day 2: Check subscription status, latest GMP, reviews, allotment date & more

HDB Financial Services, which launched its initial public offering (IPO), on June 25 and will close on June 27. Investors have responded positively to the IPO, with a 37% subscription on the first day and is on the verge of sailing through on day 2. One can apply for a minimum lot size of 20 shares, with a price band set between Rs 700-740 per share. .

The issue includes a fresh share sale of Rs 2,500 crore and an offer-for-sale by HDFC Bank, aiming to raise a total of Rs 12,500 crore. The company has reservations for various investor categories, including 50% for Qualified Institutional Buyers (QIBs), 15% for Non-Institutional Investors (NIIs), and 35% for Retail Individual Investors (RIIs).

According to the data, the investors made bids for 11,32,33,620 equity shares, or 87 per cent, compared to the 13,04,42,855 equity shares offered for the subscription by 3.25 pm on Thursday, June 26, 2025. The three-day bidding for the issue shall conclude on Friday, June 27.

The allocation for retail investors was subscribed 58 per cent, while the portion reserved for non-institutional investors (NIIs) saw a subscription of 1.92 times. Allocations for eligible employees and shareholders were subscribed 2.70 times and 1.48 times, respectively. However, the quota set aside for qualified institutional bidders (QIBs) was booked 22 per cent as of the same time.

On the financial front, HDB Financial Services reported a net profit of Rs 2,175.92 crore with a revenue of Rs 16,300.28 crore for the financial year ending March 31, 2025. This marks a decrease from the previous year, where the net profit stood at Rs 2,460.84 crore on revenue of Rs 14,171.12 crore. The company's market capitalization is expected to exceed Rs 61,250 crore.

The IPO's objectives include strengthening the company's capital base to support growth plans and offer an opportunity for HDFC Bank to divest part of its shareholding. HDB Financial Services, incorporated in 2007, is a retail-focused non-banking financial company headquartered in Ahmedabad. The company operates through its three business verticals: enterprise lending, asset finance, and consumer finance, and provides business process outsourcing services to HDFC Bank.

The company raised Rs 3,369 crore from 141 anchor investors, allocating 4.5 crore shares at Rs 740 each. Reserved shares include Rs 20 crore for eligible employees and Rs 1,250 crore for eligible HDFC Bank shareholders.

The grey market premium (GMP) for HDB Financial Services has seen fluctuations, recently commanding a premium of Rs 50-55 per share, indicating a potential 6-7% listing gain for investors.

Market analysts have generally expressed a positive outlook on the IPO, citing the strong parentage of the HDFC Group, a diversified product portfolio, pan-India network, and robust customer growth. However, concerns remain over the company's unsecured loan book, rising competition, and high operational costs.

HDB Financial Services is a NBFC is well-positioned to capitalize on the growth opportunities within the sector and the company aims to diversify and expand addressable customer segments by widening and enhancing product offering and continue to expand pan-India omni-channel distribution network, said Master Capital with a 'subscribe' for long-term rating.

Key dates for the IPO include the opening date on June 25 and closing date on June 29. The basis of allotment will be announced shortly after, followed by the initiation of refunds, credit of shares to Demat accounts, and the eventual listing of the shares.

HDFB Financial Services is backed by strong parentage, brand, governance, risk management and a high credit rating. It is one of the largest NBFCs catering to about 1.9 crore customers. It is well placed to register healthy growth going ahead, while witnessing an improvement in the asset quality, said AUM Capital.

"It has a large diversified and seasoned product portfolio with a sustainable track record of diversification, growth and profitability through the business cycles with a Pan India presence. We would recommend a 'subscribe' to the issue for the long term," it added.