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HDB Financial Services Unlisted Shares

HDB Financial Services unlisted shares gain 30% in one month ahead of SEBI nod for IPO

Money Control

2 min read

HDB Financial Services Unlisted Shares Rally 30% Ahead of SEBI IPO Approval.

Expert Analysis :

  • Unlisted Shares Jump: HDB Financial Services’ unlisted shares rose 30% in one month before SEBI approved its draft papers on June 3, 2025. On June 4, they traded at Rs 1,275, while HDFC Bank shares stayed steady at Rs 1,924.8.

  • Share Performance Overview: Over the past year, HDB Financial Services’ shares have risen 17.5%, surged 30.8% in the past month, and gained about 2% over the last six months.

  • IPO Fundraising Plans: HDB Financial Services, with HDFC Bank holding a 94% stake, plans to raise Rs 12,500 crore through an IPO—Rs 2,500 crore from fresh equity issuance and Rs 10,000 crore via offer-for-sale by the promoter.

  • Regulatory Compliance: Listing HDB Financial Services follows RBI’s October 2022 mandate for upper-layer NBFCs to list within three years; post-IPO, it will remain an HDFC Bank subsidiary.

  • Price-to-Book Valuation: at Rs 1,240 (January 2025), it implies a FY26F P/B of 4.6x, higher than peers with better ROEs and growth, per Macquarie.

  • Peer Comparison: Bajaj Finance, with a potential to deliver 4% ROA and 34% growth in FY24E, trades at 3.8x FY26E P/BV, while Shriram Finance, with a potential to deliver 3% ROA, trades at a discount compared to HDB Financial.

Takeaways

HDB Financial Services' strong unlisted share rally, high valuation, and Rs 12,500 crore IPO plan reflect investor interest ahead of mandatory RBI-driven listing and continued HDFC Bank control.

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