HDFC Standard Life Insurance Co. Ltd, a subsidiary of India’s largest mortgage lender Housing Development Finance Corp. Ltd, has fixed the price band for IPO at Rs. 275-290 per share.
The company is planning to raise Rs. 8695 crore via IPO.
HDFC proposes to issue 29,98,27,818 shares in the HDFC Standard Life IPO.
The issue will open on 7 November and will close on 9 November.
Citi CLSA, Credit Suisse, HDFC Bank, Morgan Stanley and Nomura are joint global coordinators, Edelweiss, Haitong Securities, IDFC Bank, IIFL Holdings and UBS are the book runners.
The Offer shall constitute 14.92% of the fully diluted Post-Offer Paid-up Equity Share Capital of the Company, ie; assuming all vested employee stock options and the Net Offer shall constitute 13.28% of the fully vested Post-Offer Paid-up Equity Share Capital of the Company i.e. assuming exercise of all vested employee stock options.
The Offer is being made in accordance with Regulation 26(1) of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended (“ICDR Regulations”), wherein not more than 50% of the Net Offer shall be allocated on a proportionate basis to Qualified Institutional Buyers (“QIBs”), provided that the Company and the Promoter Selling Shareholders, in consultation with the Managers, may allocate up to 60% of the QIB Portion to Anchor Investors on a discretionary basis, of which one-third shall be reserved for domestic Mutual Funds, subject to valid Bids being received from domestic Mutual Funds at or above the Anchor Investor Allocation Price, in accordance with the SEBI Regulations. 5% of the QIB Portion (excluding the Anchor Investor Portion) shall be available for allocation on a proportionate basis to Mutual Funds only, and the remainder of the QIB Portion shall be available for allocation on a proportionate basis to all QIB Bidders (other than Anchor Investors), including Mutual Funds, subject to valid Bids being received at or above the Offer Price.
Further, not less than 15% of the Net Offer shall be available for allocation on a proportionate basis to Non-Institutional Investors and not less than 35% of the Net Offer shall be available for allocation to Retail Individual Investors in accordance with the ICDR Regulations, subject to valid Bids being received at or above the Offer Price. All Bidders, other than Anchor Investors, are required to mandatorily utilise the Application Supported by Blocked Amount (“ASBA”) process providing details of their respective bank accounts which will be blocked by the SCSBs, to participate in this Offer.