By P.R. Venkat
One of India's largest non-banking financial companies has begun testing investor appetite for its nearly $1.5 billion initial public offering, amid a renewed risk-on sentiment in global equity markets.
HDB Financial Services will be taking orders from Wednesday to Friday, according to IPO launch details posted on the National Stock Exchange of India.
The offer size is 125 billion Indian rupees, equivalent to $1.45 billion. HDB Financial is selling each share at a price range of INR700 to INR740.
If successful, HDB Financial's IPO would rank among what is set to be one of India's largest listings so far this year, surpassing the more than $1.0 billion offering by Hexaware Technologies.
Global risk appetite has risen following a ceasefire between Israel and Iran, easing concerns about inflationary pressures from higher oil prices. Investor confidence has also been buoyed by signs of easing trade tensions between the U.S. and its major trading partners.
India's equity market has gained strong momentum in recent years, supported by a fast-growing economy and rising middle-class incomes in a country of more than 1.4 billion people.
Recent data showed the Indian economy expanded by 7.4% in the January-March quarter, up from 6.2% growth in the previous quarter. Last year, South Korean automaker Hyundai Motor's India unit launched a $3.0 billion IPO--the country's largest on record.
India's benchmark BSE Sensex is up 5.5% so far this year.
HDB Financial is the seventh-largest retail-focused NBFC in India by total gross loan book, which stood at nearly $10.5 billion as Mar. 31 last year.
BofA Securities, Morgan Stanley, Goldman Sachs and JM Financial are among the advisors for HDB Financial's Offering.
Write to P.R. Venkat at venkat.pr@wsj.com
(END) Dow Jones Newswires
June 25, 2025 00:48 ET (04:48 GMT)
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