MUMBAI: Leading mortgage player Bajaj Housing Finance has fixed the price band at Rs 66-70 a share for its Rs 6,560-crore primary share sale - marginally scaled down from Rs 7,000 crore - opening on September 9.
The Rs 6,550-crore issue is the first IPO from the Pune-based group since May 2008 and consists of a fresh issue of Rs 3,560 crore and an offer for sale of up to Rs 3,000 crore by the selling shareholder Bajaj Finance.
The Bajaj group, founded in 1926 has four publicly traded companies - Bajaj Finserv which went public in May 2008 and is the parent of the issuer and also the group’s holding company of its financial services vertical; and Bajaj Finance, another promoter of the firm hit the market in 1994, and flagship Bajaj Auto which went public much earlier and is the world’s most profitable two-wheeler maker.
According to the SEBI filing, only Bajaj Finance, which is the promoter-selling shareholder, is participating in the offer for sale of up to Rs 3,000 crore, though Bajaj Finserv is also a promoter.
The anchor investor bidding is September 6 and the bid/offer closing date is September 11, the company told reporters here Tuesday announcing the price band at Rs 66-70 a share.
The issuer has reserved Rs 200 crore worth of shares for Bajaj Finance employees and up to Rs 500 crore worth for the employees of Bajaj Finserv.
The company intends to utilise the net proceeds of the offer towards augmenting its capital base to meet future lending.