India's top private lender HDFC Bank said on Saturday its HDB Financial Services unit will raise up to 125 billion rupees ($1.5 billion) in its initial public offering (IPO). Parent HDFC Bank, which holds a 94.

HDFC Bank approves the sale of Rs 12,500 crore worth of shares in its subsidiary HDB Financial Services through an IPO, including a fresh issue and an offer for sale.

HDFC Bank Ltd.'s board has approved the sales of up to Rs 10,000 crore in its subsidiary HDB Financial Services Ltd. The private lender will sell this stake through an offer-for-sale in HDB Financial's initial public offering.

HDB Financial Services Ltd., a unit of India’s largest private sector lender, HDFC Bank Ltd. plans to raise as much as 125 billion rupees ($1.5 billion) through an initial public offering, further adding to big debuts in the nation’s equity markets.

The much-anticipated IPO of the unit is expected by the end of the current financial year. The offer for sale (OFS) of shares held by HDFC Bank is subject to market conditions, regulatory approvals, and other considerations,

Leading private lender HDFC Bank is set to divest Rs 10,000 crore worth of its stake in HDB Financial Services in a forthcoming IPO. This move comes in response to new regulatory norms and aims to enhance HDB's lending capabilities and digital infrastructure.