HDFC Bank has got its in-principle approval from the board to take its financial services unit, HDB Financial Services, public through an initial public offering (IPO).
Under the IPO, the fresh equity sale would be Rs 2,500 crore. There will be an offer-for-sale component, wherein interested existing and eligible shareholders of the company may offer to tender their equity shares.
HDB Financial Services is one of the leading NBFCs catering to both the retail and commercial segments. This firm has a wide range of finance products and services.
HDBFS's major focus areas are secured and unsecured lending, asset finance, consumer loans, and loan against property. HDBFS has emerged as a reliable financial ally for individual borrowers, small, and large enterprises all over the country.
NBFC reported a 17% year-on-year growth in the loan book at Rs 66,000 crores for FY23. Growth has been driven by robust demand for personal loans, vehicle loans, and small business financing. Net profit of the company is at Rs 1,740 crore for FY23.
