 "HDFC Bank's subsidiary HDB Financial Services board clears IPO plans")
The board of HDB Financial Services Ltd, the non-banking arm of HDFC Bank, on Friday approved the listing of equity shares comprising a fresh issue of up to Rs 2,500 crore and an offer for sale (OFS).
The board cleared a proposal for an OFS of equity shares by existing and eligible shareholders of the company who may offer to tender their equity which is subject to approval of the shareholders of the company, market conditions, regulatory clearances and other considerations, HDFC Bank informed the BSE.
HDFC Bank holds a 94.64 per cent stake in HDB Financial Services.
The board of the non-banking finance company also cleared amendments to the articles of association of the company and amendments to the Employee Stock Option Scheme 2014, Employee Stock Option Scheme 2017 and Employee Stock Option Scheme 2022 to comply with the regulatory requirements, the bank added.
HDB Financial Services posted 2.6 per cent Y-o-Y growth in net profit at Rs 580 crore in the June quarter. Its net revenues grew by 3.2 per cent Y-o-Y to Rs 2,390 crore and the total loan book expanded by 30 per cent Y-O-Y to Rs 95,600 crore as of June 30, 2024, compared to Rs 73,600 crore in the year-ago period.