Introduction
India’s IPO market is heating up
once again, and all eyes are on HDB Financial Services Limited, a subsidiary
of HDFC Bank, which is all set to conclude its public offering today.
Backed by one of India’s most trusted banks, this IPO has created significant
buzz in the market. But is it worth investing in?
In this detailed blog post, we will
cover everything you need to know about the HDB IPO—from Grey Market
Premium (GMP), subscription status, and price band, to analyst
reviews and whether you should apply or not.
Let’s break it all down in simple
English for retail investors like you and me.
What is HDB Financial Services?
HDB Financial Services is a leading
non-banking financial company (NBFC) in India. It is fully owned by HDFC
Bank, and it offers a wide range of loan and financial services including:
- Enterprise Lending
- Consumer Loans
- Gold Loans
- Asset Finance
- Insurance Services
- Credit Card Services
The company operates in over 1,500
branches across India, and is known for its strong parentage, stable
asset quality, and digital-first strategy.
HDB IPO Details at a Glance
| IPO Detail | Value |
|---|---|
| IPO Name | HDB Financial Services Limited IPO |
| Parent Company | HDFC Bank Ltd |
| IPO Opening Date | June 25, 2025 |
| IPO Closing Date | June 27, 2025 |
| IPO Size | ₹12,500 crore |
| Fresh Issue | ₹2,500 crore |
| Offer for Sale (OFS) | ₹10,000 crore |
| Price Band | ₹700 - ₹740 per share |
| Minimum Lot Size | 20 shares |
| Grey Market Premium (Today) | ₹50 per share |
| Expected Listing Date | July 3, 2025 (Tentative) |
HDB IPO GMP Today
The Grey Market Premium (GMP)
today, on the final day of the IPO, stands at ₹50. This means the
expected listing price could be around ₹790 (₹740 + ₹50) if GMP holds
steady till listing.
Note: The GMP has
dropped from ₹75 on Thursday to ₹50 today. Market analysts believe this decline
could be due to cautious sentiment and muted subscription from retail
investors.
HDB IPO Subscription Status – Day 3 (Live)
As of 12:33 PM on June 27, 2025, here’s the real-time subscription update:
| Category | Subscription (Times) |
|---|---|
| Retail (RII) | 0.96x |
| Non-Institutional Investors (NII) | 5.87x |
| Qualified Institutional Buyers (QIB) | 2.86x |
| Overall | 2.61x |
💡 Insight: The IPO
has seen strong interest from institutional and HNI investors, but retail
participation is just shy of full subscription.
Analyst Reviews: Should You Subscribe?
Mehta Equities – “Subscribe for Long-Term”
Rajan Shinde, a research analyst at
Mehta Equities, believes the IPO is fairly valued and offers long-term
growth. Here’s why:
- Strong parentage (HDFC Bank)
- Diversified loan portfolio
- Digital-first NBFC model
- Valuation of 3.5x P/B is aligned with industry
standards
Verdict: "Subscribe for long-term gains."
Yes Securities – “Undervalued Compared to Peers”
- Valued at 3.4x P/B and 27x PE
- Much cheaper than peers like Cholamandalam (5.7x
P/B)
- Offers meaningful upside over the next 12 months
Verdict: "Recommended to subscribe based on strong
fundamentals and valuation."
Sharekhan – “Reasonable Valuation, Good Growth”
- Valued at 3.2x - 3.4x P/B, depending on price
band
- Smaller in size compared to Bajaj Finance, but
has more room to grow
- Favourable macro conditions make NBFCs attractive
Verdict: "Expect strong listing gains and long-term
upside."
Other Brokerages Also Positive
Brokerage firms like Kunvarji
Finstock, Aditya Birla Money, Bajaj Broking, Canara Bank
Securities, Centrum Wealth, Nirmal Bang, and SBI Capital
have also issued “subscribe” recommendations.
Pros and Cons of HDB IPO
Pros
- Backed by HDFC Bank
- Large, diversified loan book
- Robust risk management systems
- Reasonable valuations
- High institutional interest
Cons
- GMP has dropped slightly
- Retail subscription is underwhelming
- Competitive NBFC market
- Sensitive to interest rate cycles
Should You Apply for HDB IPO?
Here's a simple checklist to help you decide:
| Factor | Verdict |
|---|---|
| Valuation | Reasonable |
| Parent Company | Strong (HDFC Bank) |
| Growth Potential | High |
| Peer Comparison | Cheaper than Bajaj, Chola |
| Market Sentiment | Bullish (overall) |
| Retail Subscription | Below 1x (minor concern) |
| Grey Market Premium | Moderate (₹50) |
Final Verdict: If you are a
long-term investor or even a medium-term trader, this IPO could be a good
bet. Despite the slight dip in GMP, the fundamentals remain strong.
What Investors Are Saying
Ankit,
34, Mumbai
"I invested in the IPO because
of HDFC Bank’s reputation. Even if it doesn’t give listing gains, I’m okay
holding it for a year or more."
Shalini,
29, Pune
"I noticed the GMP falling, but
the strong QIB and NII response gave me confidence. Subscribed on Day 2."
Expected Listing Price & Gains
| Metric | Value |
|---|---|
| IPO Upper Band | ₹740 |
| GMP Today | ₹50 |
| Expected Listing Price | ₹790 |
| Potential Listing Gain | ~6.75% |
Note: GMP can fluctuate till the
listing date. Please do not make decisions based only on it.
Should You Worry About GMP Falling?
Not necessarily. Experts say the
drop from ₹75 to ₹50 may just reflect short-term investor mood, not a
red flag. Given the bull market and strong institutional interest,
the IPO still holds good promise.
How Will HDB Use the Funds?
- Fresh Issue (₹2,500 crore): To boost capital base, digital expansion, and lend
more aggressively
- OFS (₹10,000 crore):
Parent company HDFC Bank will offload partial stake to unlock value
What Happens After IPO Closes?
- Allotment Finalization: June 28, 2025 (Tentative)
- Listing Date:
July 3, 2025 (Tentative)
- Refunds/UPI Mandate Release: June 29-30, 2025
Investors should keep an eye on
emails or the registrar’s site (Link Intime) for updates.
Disclaimer
This article is for informational
purposes only and does not constitute financial advice. Please consult your
SEBI-registered financial advisor before making investment decisions.
Final Words
The HDB Financial Services IPO
is one of the most awaited offerings of the year. Backed by HDFC Bank, valued
reasonably, and supported by strong analyst reviews, it looks promising for
investors who want a slice of India’s growing NBFC story.
The subscription numbers may not be
record-breaking, but they are decent enough for such a large issue. Combine
this with a favorable macro environment, and you might just have a worthy
IPO for your portfolio.
FAQs About HDB IPO
Q1. What is the GMP of HDB Financial
Services IPO today?
A1. The GMP (Grey Market Premium) is ₹50 as of June 27, 2025.
Q2. What is the price band of HDB
IPO?
A2. ₹700 to ₹740 per share.
Q3. Is the HDB IPO worth subscribing
to?
A3. Most analysts recommend a “Subscribe” tag based on strong fundamentals and
fair valuation.
Q4. When is the listing date?
A4. Expected around July 3, 2025.
Q5. What is the IPO size of HDB
Financial Services?
A5. ₹12,500 crore, with ₹10,000 crore as OFS and ₹2,500 crore as fresh issue.
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