Bajaj Finance announces closure of QIP totalling Rs 8,500 crore

Last Updated: Wed, Nov 13, 2019 12:26 hrs
Bajaj Finserv (Image Courtesy: Wikimedia)

Mumbai (Maharashtra): Bajaj Finance Ltd has raised Rs 8,500 crore by issuing over 2.17 crore equity shares at an issue price of Rs 3,900 per equity share to qualified institutional buyers.

This was done through a qualified institutions placement (QIP) in terms of Securities and Exchange Board of India (Issue Of Capital And Disclosure Requirements) Regulations.

"This is the largest QIP by a non-banking finance company in India," said Managing Director Rajeev Jain. "The company saw participation from marquee sovereign wealth funds, pension funds, foreign long-only funds and large domestic mutual funds."

Jain said this capital raise will support growth of the company over the next few years. The entire QIP process was completed in 52 days between September 17 and November 7.

Bajaj Finance, a subsidiary of Bajaj Finserv, is one of the largest players in burgeoning consumer finance segment and a pioneer in introducing interest-free EMI finance options in more than 50 categories, ranging from consumer durables to lifestyle products to groceries.

Apart from consumer finance, the company also has substantial business penetration in small and medium enterprises, commercial and rural lending.