HDB Financial Services, the non-banking financial arm of HDFC Bank, made a robust debut on Indian stock exchanges today, listing at ₹835 per share—marking a 12.84% premium over its issue price of ₹740. The listing positions HDB’s ₹12,500 crore initial public offering (IPO) as the largest in India so far this year.
The IPO, comprising a ₹2,500 crore fresh issue and a ₹10,000 crore offer-for-sale by HDFC Bank, received an overwhelming response, with an overall subscription of 16.69 times. The Qualified Institutional Buyers (QIBs) segment led the demand, subscribing 55.47 times their allotted quota.
Post-listing, HDB Financial’s market capitalization stood at approximately ₹69,268 crore. The company’s shares traded steadily on both the NSE and BSE, with analysts noting that the listing exceeded grey market expectations, which had projected an 8–10% premium.
Brokerage firm Emkay Global initiated coverage with a ‘Buy’ rating and a target price of ₹900, citing HDB’s diversified loan portfolio, strong parentage, and growth potential in underserved segments. The firm projects a 20% compound annual growth rate (CAGR) in assets under management (AUM) and a 27% CAGR in earnings per share (EPS) between FY25 and FY28.
Despite regulatory headwinds—including a Reserve Bank of India draft circular that may require HDFC Bank to reduce its stake in HDB Financial—market sentiment remains optimistic. The company’s strong fundamentals, including a granular loan book and wide branch network, have reinforced investor confidence.
HDB Financial Services, incorporated in 2007, offers enterprise loans, consumer finance, and asset-backed lending through a network of over 1,700 branches nationwide. Its successful listing underscores continued investor appetite for high-quality financial services firms backed by established banking institutions.
