June 27, 2025: HDB IPO GMP– HDB Financial Services, a leading non-banking financial company (NBFC) and a subsidiary of HDFC Bank, has seen strong investor interest as its much-anticipated Initial Public Offering (IPO) was fully subscribed by the second day of bidding. The public issue, which opened for subscription on June 25, will close on June 27.
Valued at ₹12,500 crore, the IPO is among the largest in the NBFC sector in recent years and is being counted as the fifth-biggest IPO in India over the past two decades. The offering comprises a ₹2,500 crore fresh issue and a ₹10,000 crore offer for sale (OFS) by parent company HDFC Bank, which currently holds over 94% stake in HDB Financial.
Despite the strong subscription numbers, the Grey Market Premium (GMP) has witnessed a sharp decline. Initially trading at a premium of 14%, the GMP has now dropped to around 8%, raising questions among retail investors. Market analysts suggest this could be due to valuations, liquidity tightening, or short-term market volatility.
Key Details:
- IPO Size: ₹12,500 crore
- Price Band: ₹700–₹740 per share
- Fresh Issue: ₹2,500 crore
- Offer for Sale: ₹10,000 crore by HDFC Bank
- Current GMP: ₹55–₹60 (approx. 8% over issue price)
- Subscription Status: Fully subscribed by Day 2
The proceeds from the fresh issue will be utilised to fund the company’s expansion in tier II and tier III cities, a key strategic focus for HDB Financial Services. Analysts say the company is tapping into underserved markets to grow its lending portfolio, particularly in personal loans, business loans, and gold loans.
Despite the decline in GMP, the IPO has attracted attention from institutional investors, HNIs, and retail participants, signaling confidence in the company’s long-term prospects.
With the final day of bidding set for June 27, all eyes will now be on the final subscription numbers and the listing price performance when the stock debuts on the exchanges.