Bajaj Housing Finance, a unit of Bajaj Finance, is reportedly exploring an IPO to comply with regulatory requirements set by the Reserve Bank of India (RBI).

The RBI mandates “upper layer” non-banking financial companies (NBFCs) to list within a specified timeframe. Bajaj Housing Finance aims to go public by September 2025.

What Happened: Preliminary discussions have been initiated with multiple investment banks regarding the potential IPO, which is anticipated to be valued between $9 billion to $10 billion (around ₹75,000 crore to ₹83,000 crore), Moneycontrol reported, citing sources.

The company is considering raising $900 million to $1 billion (around ₹7,500 crore to ₹8,300 crore) through the IPO, with plans for a combination of primary and secondary share issues, sources told the business publication.

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While no final decision has been made, talks with investment banks are in the early stages. A syndicate of bankers is expected to be chosen soon to facilitate the IPO process. The IPO marks a significant move for the Bajaj Group, potentially representing its first IPO in several years.

Bajaj Housing Finance offers a diverse range of financial products, including financing for home purchases, renovations, loans against property, and working capital for business expansion. The company serves over 76.5 million customers across India.

Price Action: Bajaj Finance’s share price ended 1.72% higher at ₹7,029 at the end of trade on Wednesday, following the news.

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