Bajaj Housing Finance IPO listing today: Investors eye windfall gains

Baja Housing Finance IPO listing price prediction: As investors eagerly await the listing of Bajaj Housing Finance shares on the stock exchanges, scheduled for Monday, September 16, 2024, the grey market premium (GMP) of the public issue continues to remain above 100 per cent due to overwhelming demand among investors. This sustained GMP also reflects the high level of interest, and enthusiasm among investors, setting the stage for a strong post-listing performance.

Bajaj Housing Finance IPO, which ended for subscription on Wednesday, September 11, 2024, received a whopping 8.9 million applications, eclipsing the previous record of 7.35 million set by Tata Technologies. The allotment of Bajaj Housing Finance IPO was finalised yesterday. 

According to several sources that track grey market activities, the unlisted shares of Bajaj Housing Finance are currently trading at a premium of approximately Rs 78, representing a 111 per cent gain over the IPO issue price. This indicates robust listing sentiments for the company's shares. 

The latest grey market premium is marginally higher than Friday's GMP of Rs 75. It also remains significantly higher than the Rs 64 reported on September 9, 2024, the IPO's opening day.

That said, if today's listing is as per the trends seen in the grey market, Bajaj Housing Finance shares are poised to deliver a remarkable return, potentially doubling investors' money on their debut. With an expected listing price of around Rs 148 on the BSE and NSE, incorporating the current GMP, investors can anticipate a gain of approximately Rs 78 per share. 

Meanwhile, Shivani Nyati, Head of Wealth at Swastika Investmart, highlighted, IPO has garnered immense investor interest, evidenced by a subscription rate of 67.4 times and a sky-high grey market premium. She believes that this enthusiasm reflects the company's strong fundamentals and market anticipation. Bajaj Housing Finance has demonstrated consistent growth in both revenue and profit, showcasing favorable financial metrics. The company's association with the Bajaj Group lends credibility and trust. Moreover, the IPO's valuation appears reasonable, further fueling investor optimism.

She added, "the combination of strong financials, a reputable brand, and immense investor interest positions Bajaj Housing Finance for a potentially successful listing."

Much-awaited public offering of Bajaj Finance's housing finance arm had garnered positive reviews from several brokerages, including Deven Choksey Research, InCred Equities, Motilal Oswal, and Swastika Investmart, for its initial public issue. READ MORE

About Bajaj Housing Finance 

Bajaj Housing Finance Limited (BHFL), a non-deposit taking Housing Finance Company (HFC), has been specialising in mortgage lending since FY18. Classified as an 'Upper Layer' Non-Banking Financial Company (NBFC-UL) by the Reserve Bank of India (RBI) since September 30, 2022, BHFL operates under the 'Scale Based Regulations (SBR): A Revised Regulatory Framework for NBFCs' introduced on October 22, 2021. The company provides customised financial solutions to individuals, and corporate entities for the purchase, renovation, and development of residential and commercial properties.