Aadhar Housing Finance Lists at Rs 315 per share on NSE!

Aadhar Housing Finance Limited is a housing finance company targeting the lower-income segment. It provides a variety of mortgage loan products for residential and commercial property purchase and construction, as well as home improvement and extension, which debuted on the Indian stock market today.

The company’s stock settled at Rs 314.30 per share on the BSE, almost flat compared to the final issue price of Rs 315 per share. Additionally, on the NSE, the company’s shares opened at Rs 315 per share. The market capitalisation on the BSE stands at around Rs 14,000 crore.

IPO Proceeds

The company proposes to utilize the net proceeds for the following purposes:

• To meet future capital requirements for onward lending
• General corporate purposes

Business Overview

Incorporated in 2010, Aadhar Housing Finance Limited is a housing finance company targeting the lower-income segment. The deep impact branches’ sales offices aim to serve customers in India’s tier 4 and tier 5 towns. The company provides a variety of mortgage loan products for residential and commercial property purchase and construction, as well as home improvement and extension.

Subscription details

As of May 10, 2024, the Aadhar Housing Finance IPO was subscribed 26.76 times. The public issue was subscribed 2.58 times in the retail category, 76.42 times in the QIB category, and 17.33 times in the NII category.

The IPO price band was Rs 300 and Rs 315, with a face value of Rs 10 per share and a lot size of 47 shares. The total size of the company’s IPO was Rs 3000 crore, and the final share issue price was fixed at Rs 315 each.

Conclusion

The crucial question that arises in everyone’s mind is whether to hold onto the shares or book profits. Investors who applied for listing gains were disappointed on the listing day itself as it did not generate any profits. On the other hand, investors with a higher risk appetite may opt to hold the shares for the medium to long term, which could prove to be beneficial.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.