The board of Bajaj Housing Finance will meet on April 24 to consider strategies to comply with its mandatory listing requirement. The company said that it will discuss various options, taking into consideration the prevailing market conditions.
Bajaj Finance informed exchanges on Saturday, that its subsidiary Bajaj Housing Finance notified the BSE regarding the company’s actions to fulfill mandatory requirements after being classified as an NBFC-Upper Layer by the Reserve Bank of India(RBI).
The filing follows media reports stating that the housing finance company has commenced discussions with multiple investment banks regarding a possible initial public offering(IPO).
According to a September 2022 notification, the RBI placed Bajaj Housing Finance in its list of upper layer NBFCs. The housing finance company featured in the 2023 list too.
Once an NBFC is classified as NBFC-UL, it is subject to enhanced regulatory requirement, at least for a period of five years from its classification in the layer, even in case it does not meet the parametric criteria in the subsequent years.
According to RBI norms for NBFC-UL, Bajaj Housing Finance is required to be mandatorily listed on exchanges on or before September 30, 2025. Bajaj Housing Finance is a wholly-owned subsidiary of Bajaj Finance. Its assets under management stood at RS 85,929 crore as of December 31.