Aadhar Housing Finance IPO Day 2- Check Subscription Status and Other Details
Only the employee component of the Aadhar Housing Finance IPO was entirely booked on the first day, which was a gradual and steady start. On day one of the Aadhar Housing Finance IPO, 44% of subscribers were active. Retail investors made up 41% of the booked category, while non-institutional investors made up 60% of the subscription. A 33% quota was reserved for qualified institutional buyers (QIBs).
The Aadhar Housing Finance initial public offering (IPO) subscription period opened on Wednesday, May 8, and ends on Friday, May 10. The pricing range for the Blackstone-backed company's IPO is ₹300 to ₹315 per share. The Aadhar Housing Finance IPO raised Rs. 898 crore from anchor investors on Tuesday, May 7. Bids can be placed for multiples of 47 shares, with a minimum bid of 47.
Aadhar Housing Finance Limited, a prominent player in the housing finance sector, has demonstrated a robust financial performance. For the financial year 2022-2023, the company reported a net profit of ₹545.34 crore, which is a significant increase from the previous year. This profit was generated from a revenue of ₹2,043.52 crore, indicating a healthy profit margin and efficient operations. The company's sales also saw an upward trend, with an 8.81% rise to ₹440.30 crore in the quarter ended March 2022 compared to ₹404.66 crore in the same quarter of the previous year. These figures reflect the company's strong market presence and operational success, even amidst challenging economic conditions. The detailed financial results and annual reports can provide more comprehensive insights into the company's financial health and strategic direction.
Aadhar Housing Finance Limited (AHFL) is a prominent housing finance company in India, focusing on providing affordable housing loans to the low-income segment of the population. With a mission to empower economically weaker sections and low-to-middle income customers, AHFL offers small ticket mortgage loans, which are pivotal in improving the standard of living for its target demographic. AHFL's financial products include loans for residential property purchase and construction, home improvement and extension loans, and loans for commercial property construction and acquisition. These offerings are designed with attractive interest rates and extended repayment periods, which can go up to 30 years, facilitating lower monthly EMIs and making home ownership more attainable for many.
In terms of technology and innovation, AHFL has implemented comprehensive systems and processes for underwriting, collections, and monitoring asset quality. These systems are technology-enabled, aiming to digitize the entire life cycle of a loan from origination to closure. The company has also developed an internal credit assessment model and digitized monthly collections to enhance processing and collection efficiency. Overall, Aadhar Housing Finance Limited stands out for its commitment to serving the underserved segment of the housing market, its expansive reach across India.
Aadhar Housing Finance IPO Subscription Status
Aadhar Housing Finance IPO subscription status is 45%, at 12:49 IST, as per NSE data. The employee portion has been subscribed 0.93 times, and QIB has been subscribed 76%. The NII portion has been subscribed 96%, followed by retail, which has been booked 47%.
Aadhar Housing Finance Limited IPO Details
Issue Date: May 8, 2024 to May 10, 2024.
Listing Date: Wednesday, May 15, 2024.
IPO Face Value: ₹10 per share.
IPO Price: ₹300 to ₹315 per share.
Lot Size: 47 Shares)
Total Issue Size: 95,238,095 shares (aggregating up to ₹3,000.00 Cr).
Offers for Sale: 63,492,063 shares of ₹10 (aggregating up to ₹2,000.00 Cr).
Fresh Issue: 31,746,032 shares (aggregating up to ₹1,000.00 Cr).
Issue Type: Book Building IPO.
Listing at: BSE, NSE.
Retail Shares Offered: Not more than 35% of the Net Issue.
QIB Shares Offered: Not More than 50% of the Net Issue.
NII (HNI) Shares Offered: Not more than 15% of the Net Issue.
Competitors of Aadhar Housing Finance Limited
Aadhar Housing Finance Limited, a prominent player in the Indian housing finance sector, faces stiff competition from various other entities in the market. The landscape of housing finance in India is quite dynamic, with several key players vying for market share. Here's an in-depth look at some of the competitors of Aadhar Housing Finance Limited.
HDFC Ltd.
Housing Development Finance Corporation Limited (HDFC) is one of the leading housing finance institutions in India. Established in 1977, HDFC has a widespread network across the country and offers a wide range of financial products and services. With its extensive experience and strong market presence, HDFC poses significant competition to Aadhar Housing Finance Limited.
Reliance Home Finance
Part of the Reliance Group, Reliance Home Finance offers a variety of home loan products and services. The company has been known for its customer-centric approach and innovative financial solutions, which make it a formidable competitor in the housing finance sector.
Agrim Housing Finance
Agrim Housing Finance is another competitor that specializes in providing housing loans to the unserved and underserved segments of the Indian population. Their focus on affordable housing finance helps them cater to a niche market segment, differentiating them from Aadhar Housing Finance Limited.
Other Notable Competitors
Apart from these major players, Aadhar Housing Finance Limited also competes with several other companies, including smaller regional players and new entrants in the housing finance space. Companies like Shubham Housing Development Finance Company and Mahindra Home Finance have also carved out their own space in the industry, offering competitive rates and services.
Aadhar Housing Finance Limited continues to be a significant entity in the housing finance sector, it operates in a highly competitive environment with several established and emerging players. The company's ability to innovate and adapt to the changing market dynamics will be crucial in maintaining and enhancing its competitive position.
FAQs
Q: What is an IPO?
An Initial Public Offering (IPO) is a process through which a privately held company offers its shares to the public for the first time and becomes a publicly traded company.
Q: How can I apply for an IPO?
You can apply for an IPO through various methods:
ASBA (Application Supported by Blocked Amount): In this method, your application money remains in your bank account until the basis of allotment is finalized.
UPI (Unified Payment Interface): You can authorize the blocking of funds in your bank account using UPI while applying for an IPO.
Q: What is ASBA?
ASBA stands for Application Supported by Blocked Amount. It allows your application money to be blocked in your bank account during the IPO bidding process. You continue to receive interest on the blocked amount.
Q: What is the difference between book building and a normal public issue?
Book building is a process where demand for securities is elicited and the price is assessed based on investor bids. In a normal public issue, the price is fixed by the issuer.
Q: Can I make payments through UPI for IPOs?
Yes, you can use UPI as a payment method for IPOs. The UPI platform blocks the funds for IPO applications after you approve the fund block mandate request.
Q: What is the minimum order quantity for an IPO?
The minimum number of shares you can apply for in an IPO is known as the minimum order quantity. It varies for each IPO.
Q: What is the cut-off price in an IPO?
The cut-off price is the price at which you bid for shares without specifying a particular price. It allows you to participate in the IPO without specifying a specific bid price.
Q: Can I revise my bids during the IPO process?
Yes, you can revise your bids multiple times before the IPO bidding period ends.
Q: Which banks offer the ASBA facility for IPOs?
Several banks, known as Self Certified Syndicate Banks (SCSBs), offer the ASBA facility. Some examples include HDFC Bank, ICICI Bank, Axis Bank, and SBI.
Q: How do I find IPO mandates on UPI apps?
You can check the list of UPI handles supported for IPO payments on the National Payments Corporation of India (NPCI) website. These handles allow you to apply for IPOs using UPI.