Bajaj Housing Finance IPO listing date today; GMP, experts signal multibagger returns for share allottees

Bajaj Housing Finance IPO Listing: Bajaj Housing Finance shares are set to make their debut in the Indian stock market today. After receiving record subscription for its initial public offering (IPO), the Bajaj Housing Finance shares will be listed on BSE and NSE today.

Bajaj Housing Finance IPO listing date is today, September 15. The IPO was open from September 9 to 11 and the IPO allotment was fixed on September 12.

“Trading Members of the Exchange are hereby informed that effective from Monday, September 16, 2024, the equity shares of Bajaj Housing Finance Limited shall be listed and admitted to dealings on the Exchange in the list of ‘B’ Group of Securities,” a notice on BSE said.

Bajaj Housing Finance shares will be a part of Special Pre-open Session (SPOS) today and the trading in the Bajaj Housing Finance stock will start from 10:00 am.

Bajaj Housing Finance IPO GMP today, or grey market premium today, ahead of the listing signals a strong debut of shares. Stock market analysts also predict a decent Bajaj Housing Finance IPO listing today. Considering all the aspects, Bajaj Housing Finance share price listing is estimated to be at a premium of more than 100% which is likely to double investors’ money upon listing.

Here’s what Bajaj Housing Finance IPO GMP and experts indicate about the Bajaj Housing Finance share price:

Bajaj Housing Finance IPO GMP Today

Bajaj Housing Finance share price is trading at a decent premium in the unlisted market. According to stock market experts, Bajaj Housing Finance IPO GMP today is ₹78 per share. This indicates that Bajaj Housing Finance shares are trading higher by ₹82 in the grey market as against its issue price.

Bajaj Housing Finance IPO Listing Price

Considering the Bajaj Housing Finance IPO GMP today ahead of the listing and the issue price, the estimated Bajaj Housing Finance IPO listing price is ₹148 per share, which is at a premium of 112% to the IPO price of ₹70 per share.

“Bajaj Housing Finance Ltd saw an extraordinary demand for its offering, with a subscription rate surpassing 67 times. We anticipate a strong debut on the stock exchanges on Monday, with an expected premium of 107% above the upper band price,” said Prathamesh Masdekar, Research Analyst, StoxBox.

The company has demonstrated robust performance through strategic emphasis on enhancing direct home loan origination and increasing Average Ticket Size across its product suite. These measures have improved the Opex/Asset ratio in recent years. Additionally, the strategic shift in AUM and product mix has mitigated the adverse effects of rising funding costs on the portfolio spread, Masdekar noted.

“Therefore, we recommend that investors allotted shares hold their positions from a medium to long-term horizon,” he added.

Prashanth Tapse, Sr VP Research – Research Analyst at Mehta Equities Ltd believes Bajaj Housing Finance IPO gives allotted investors an opportunity to invest in one of India’s leading players in the housing finance sector.

“Considering company’s strong parentage brand ‘BAJAJ’ along with its solid position in the housing finance space with ₹97,071 crore AUM which is well-positioned itself to capitalize the industry demand and assuming to deliver impressive growth in future, like historical CAGR growth of 30.9% in AUM from Fiscal 2022 to 2024, we expect the IPO to make a robust debut and price of the company may double allotted investors' wealth or even do more than on the listing day,” Tapse said.

Post listing, he recommends conservative investors to choose profit booking, if the listing gain is over and above his expectations, while long term investors can continue holding for long term growth as the sector outlook remains very optimistic given the company’s well-positioned business model.

On valuation at ₹70 per share, the issue was asking for a market cap of ₹58,297 crore and based on valuation which was very much in line with its other listed peers which are trading at an industry average.

“Considering all attributes, we strongly recommend allotted long term investors to ‘Hold’ it for a long term perspective,” Tapse added.

Bajaj Housing Finance IPO Details

Bajaj Housing Finance IPO opened for subscription on September 9 and closed on September 11. The IPO allotment was finalized on September 12 and Bajaj Housing Finance IPO listing date is today, Monday, September 16.

Bajaj Housing Finance IPO price band was set at ₹66 to ₹70 per share. The company raised ₹6,560.00 crore from the book-built issue which was a combination of fresh issue of 50.86 crore equity shares worth ₹3,560 crore and an offer-for-sale (OFS) of 42.86 crore shares aggregating to ₹3,000 crore.

Bajaj Housing Finance IPO set a new record, with subscriptions exceeding ₹3 lakh crore. The IPO was subscribed 63.61 times, receiving bids for over 4,628 crore equity shares, against the 72.75 crore shares on offer. At the upper end of the price band, the applications for Bajaj Housing Finance shares were valued at nearly ₹3.24 lakh crore.

Kotak Mahindra Capital Company Ltd, BofA Securities India Ltd, Axis Capital, Goldman Sachs (India) Securities, SBI Capital Markets, JM Financial and IIFL Securities are the book running lead managers of the Bajaj Housing Finance IPO, while Kfin Technologies is the IPO registrar.

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Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.