Bajaj Housing Finance Limited (BHFL) has successfully raised ₹1,000.09 crore through a private placement of Non-Convertible Debentures (NCDs), demonstrating strong investor confidence in the company's financial stability and growth prospects.

NCD Issuance Details

The company allotted 100,000 secured redeemable NCDs, each with a face value of ₹100,000. The debentures, issued under the ISIN INE377Y07607, have a tenure of 1,126 days and are set to mature on October 16, 2028. Key features of the NCD issuance include:

• Coupon Rate: 7.10% per annum
• Interest Payment: Annual, starting from October 16, 2025
• Security: First pari-passu charge on book debts and loan receivables, equivalent to 1.00 times the aggregate outstanding value of debentures
• Listing: Proposed to be listed on the Wholesale Debt Market Segment of BSE Limited

Interest Payment Schedule

The interest payment schedule for the NCDs is as follows:

Significance of the Issuance

This successful NCD issuance highlights Bajaj Housing Finance's strong position in the market and its ability to attract substantial investments. The funds raised through this private placement are likely to support the company's lending activities and overall business growth.

The attractive coupon rate of 7.10% per annum indicates a balance between providing competitive returns to investors and managing the company's cost of funds. The security structure, with a first pari-passu charge on book debts and loan receivables, offers additional comfort to investors.

Regulatory Compliance

The allotment of NCDs was approved by the Debenture Allotment Committee of Bajaj Housing Finance Limited, in compliance with the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations, 2015. This demonstrates the company's commitment to regulatory standards and transparent corporate governance practices.

As Bajaj Housing Finance continues to strengthen its position in the housing finance sector, this successful NCD issuance is expected to contribute to its liquidity and support its ongoing business operations.

Bajaj Housing Finance Limited (BHFL) has announced the complete utilization of the net proceeds from its Initial Public Offering (IPO) conducted in September 2024. The company has successfully deployed the entire ₹3,560 crore raised through the fresh issue component of its IPO, as confirmed by the monitoring agency report for the quarter ended June 30, 2025.

Efficient Capital Deployment

The monitoring agency report, prepared by CARE Ratings Limited, verifies that BHFL has utilized 100% of the net proceeds in line with the stated objectives outlined in its offer document. The company has allocated the funds as follows:

• ₹3,499.55 crore for augmenting its capital base to meet future business requirements towards onward lending
• ₹60.45 crore for share issue expenses

Ahead of Schedule Completion

Notably, BHFL has completed the utilization of funds well ahead of the March 31, 2025 timeline mentioned in the offer document. The company achieved full deployment by December 31, 2024, demonstrating efficient capital management and execution of its growth plans.

IPO Details and Fund Allocation

The total size of BHFL's IPO was ₹6,560 crore, comprising:

Compliance and Transparency

The monitoring agency report confirms that there were no deviations from the original plan, and all proceeds were used as disclosed in the prospectus. This adherence to the stated objectives underscores BHFL's commitment to transparency and regulatory compliance.

Implications for Growth

The timely and complete utilization of IPO proceeds for augmenting the capital base positions Bajaj Housing Finance Limited well for future growth. With a strengthened capital position, the company is poised to expand its lending activities and capitalize on opportunities in the housing finance sector.

As the housing finance market continues to evolve, BHFL's proactive approach to capital deployment may provide it with a competitive edge in meeting the growing demand for housing loans and related financial products.