PNB Housing's IPO to be staged soon

Its raining IPOs in markets even as housing finance companies line up to issue its shares to public. Only recently Reliance Home Finance confirmed about its plans to come up with an IPO, thus demerging itself from Reliance Capital to focus on the growing home finance business.

According to media reports PNB Housing Finance Ltd., may launch its IPO in the month of October. The issue size could be approximately Rs 2,500 crore. Thus PNB housing Finance could be second largest IPO after ICICI Prudential Life Insurance’s IPO slated to hit markets with a size of Rs 6,000 crore.

PNB holds a 51 per cent stake in its housing finance arm. Carlyle Group is the other investor in the housing finance arm of PNB.

DSP Merrill Lynch, Kotak Mahindra Capital Co., JM Financial Institutional Securities Ltd., JP Morgan India Pvt. Ltd., and Morgan Stanley India Co. Pvt. Ltd., may be managing the issue as per media reports.

PNB is trading at Rs 141.20 per share, down by 0.46 per cent or Rs 0.65 per share on Thursday in the first half at 9.35 a.m. Over a one year period the stock is up by almost 3 per cent.