HDFC Limited gaining ground ; may sell 10 percent stakes in HDFC Life

HDFC Limited , India's leading Home loan provider, has finalised list of bankers for HDFC Life's IPO. HDFC Life a subsidiary of HDFC Limited , is a joint venture between HDFC Limited and Standard Life.  $ 400 million is to be raised via an IPO and HDFC may sell 10 percent of its stake in the HDFC Life Insurance as per reports. 

Citigroup Inc., JPMorgan Chase & Co., Morgan Stanley  and Kotak Mahindra Bank Ltd.,  will be the bankers to the issue as per news reports. The HDFC Life IPO  is expected to hit markets simultaneously with ICICI prudential Life Company's IPO.  ICICI Prudential's Life insurance is a joint venture between ICICI Bank and the UK life insurer , Prudential Plc. 

If HDFC Life manages to come up with the IPO before ICICI Prudential, it will be the first listing in the life insurance industry touted to be $ 50 billion in size.  The Life Insurance industry is open to the private players for the first time 16 years ago.

HDFC Limited has been gaining good ground in past few trading sessions on bourses while posting 7 percent gains in 1 week alone and over 6 percent returns in 1 month period. The stock is showing positive traction after it posted better than expected results and the news of HDFC Life is keeping HDFC counter busy.