India’s Biggest NBFC IPO in Years Is Here-But Is It Worth the Hype?

Welcome Back Investor!

India’s stock markets opened with a cautious climb today, powered by a rally in financials after the RBI eased project finance rules. But Middle East tensions fueled by Israel-Iran strikes kept gains in check. Power financiers like REC and PFC jumped 3%, riding the RBI’s lender-friendly policy shift. Is this a calm before another geopolitical storm?

Let’s dive in!

But before we start!

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Today’s Market Menu

▪️ Impact News

▪️ Markets

▪️ Everything else you need to know today

▪️ Special

▪️ Mindset

▪️ Stock Screener to up your game

IMPACT NEWS

🚨 HDB Financial’s ₹12,500 Cr IPO Opens June 25 What You Need to Know Before Subscribing

HDB Financial Services, backed by HDFC Bank, is launching India’s largest NBFC IPO next week raising ₹12,500 crore in what’s shaping up to be a market spectacle. With a grey market premium hinting at an 11% pop, excitement is high. But beneath the buzz, investors should tread carefully.

The RHP outlines seven key risks. First, macroeconomic headwinds: any economic slowdown could hurt growth and repayment capacity. Then there’s asset quality pressure, with bad loans (Stage 3) fluctuating between 2–5%. Notably, 29% of HDB’s loans are unsecured, meaning no collateral to fall back on.

Even their “secured” loans come with caveats delays in enforcement or declining collateral value could hamper recovery. The brand’s deep reliance on HDFC Bank is both a strength and a potential vulnerability, especially if strategic interests diverge.

Add in the regulatory overhang as an “Upper Layer” NBFC under RBI norms, HDB faces stricter compliance requirements.

🔍 The verdict? This IPO is big, bold, and backed by a powerful name but it’s not risk-free. The listing may shine, but smart investors should weigh every angle before jumping in.

MARKETS

the Indian stock market witnessed a strong bullish surge across major indices, signaling solid investor confidence. The SENSEX soared 1,046.30 points (+1.29%) to close at 82,408.17, while the NIFTY 50 jumped 319.15 points (+1.29%), settling at 25,112.40. Banking stocks also rode the rally with NIFTY BANK climbing 675.40 points (+1.22%). The standout performer was NIFTY Midcap 100, which surged 835.55 points (+1.46%), reflecting strong momentum in midcap stocks. This broad-based rally suggests aggressive buying interest and could be hinting at a continued upward trend—bulls clearly in control
_{Closing figures as on 20.06.25 (3.30pm IST)}

🔎 In Focus

Stock Performance:

Top Gainers
✅ Jio Financial (+3.57%) Emerged as the top Nifty gainer with strong buying interest and high volumes. Optimism around its expanding digital lending and insurance services fueled the upward move.
✅ Bharti Airtel (+3.18%) Hit a new record high backed by aggressive 5G rollout, strong subscriber growth, and improved ARPU. Buzz around potential inclusion in global ETFs further lifted sentiment.
✅ Trent (+3.04%) Rallied after analysts at Nuvama labeled it a "compounding machine" with over 25% long-term growth potential. Expansion in innerwear, footwear, and beauty verticals boosted confidence.
✅ Mahindra & Mahindra (M&M) (+2.90%) Rose on strong demand for SUVs and tractors, with investors bullish on its EV pipeline. Seasonal optimism ahead of monsoon further supported the uptrend.

Top Losers

🔻 Bajaj Auto (-1.47%) Declined on weak export sentiment and profit booking post recent rally. Analysts flagged rural demand softness as a concern for two-wheeler volumes.
🔻 Hero MotoCorp (-1.04%) Fell as concerns emerged over entry-level sales and rising EV competition. Investors shifted focus to higher-growth midcaps, adding pressure.
🔻 Maruti Suzuki (-0.12%) Marginal dip driven by rising input cost concerns impacting margins. Demand remains strong, so the correction was largely technical.
🔻 Dr. Reddy’s Labs (-0.06%) Saw a slight pullback after recent gains, with no negative trigger. Likely a case of routine profit booking amid broader market rally.

INDIA FRONTIER

Everything else you need to know today

🔥 Strategic Firepower Unleashed: AXISCADES has teamed up with European missile giant MBDA to set up a high-tech defence unit at Bengaluru’s Aerospace Park. The facility aims to produce advanced missile systems under India’s "Make in India" push. With Europe’s tech and India’s ambition.

⚖️ Corporate Showdown Begins: The Lilavati Trust has fired a legal cannon at HDFC Bank CEO Sashidhar Jagdishan, alleging a ₹1,000 crore defamation and financial misconduct saga. The case accuses him of data tampering, smear campaigns, and dodgy loans.

💼 Tech Titans Bet Big on Vizag: Cognizant is going all-in on Visakhapatnam, investing ₹1,583 crore to build a mega IT/ITES campus. The state is offering land at 99 paise per acre yes, you read that right. With 8,000 jobs projected, is Vizag quietly becoming India’s next IT boomtown?

🤖 IPO Game Just Got Smarter: BSE is officially putting AI in charge of IPO paperwork cutting DRHP review time from weeks to just 30 minutes. The AI screens for red flags like sudden profit spikes or auditor swaps. Faster IPOs, fewer surprises.

SPECIAL

🌍 Global Trading Giants Flock to India, Sparking a Talent Gold Rush

India’s financial markets are turning heads and global trading titans are lining up to join the action. Powerhouses like Optiver, IMC, and Hudson River Trading are rapidly expanding operations across the country, drawn by the meteoric rise of India’s equity derivatives market.

But this isn't just a market play it’s a full-on battle for talent. With demand surging for quant analysts, coders, and algo strategists, these firms are recruiting aggressively from top Indian institutions like IITs and IIMs. They’re also poaching from seasoned local prop trading desks, offering global paychecks and prestige to match.

The appeal? India’s liquidity, regulatory clarity, and world-class technical talent. With the NSE now one of the world’s most active derivative exchanges, the timing couldn’t be better.

For India’s workforce, it’s a breakout moment one that’s elevating salaries, skill sets, and global relevance. For local firms, however, the pressure is on: adapt or risk losing out in this cross-border hiring blitz.

💭 Could India soon rival the trading corridors of London or Singapore? If momentum holds, that idea might not be far-fetched.

THE HANOOMAAN INSTITUTE

Are You Following Financial Advice That’s Quietly Keeping You Middle Class?

What if the very advice you were taught to follow work hard, save diligently, retire at 65 isn’t actually designed to make you wealthy, but to keep you financially average? A bold critique sheds light on five common money beliefs that may feel safe but quietly limit wealth-building:

The job trap: Climbing the corporate ladder builds someone else’s dream. Ownership not employment is where true wealth grows.

Work till 65? Not anymore. The financially free focus on early independence through passive income not delayed retirement.

High salary ≠ wealth: Big paychecks can lead to lifestyle creep and higher taxes. Real wealth comes from cash-flowing assets.

Mutual fund myth: High fees and underperformance make many mutual funds a wealth drag. Index funds and tax-smart strategies win.

All debt is bad? Not true. Smart leverage (e.g., real estate or business loans) can accelerate asset growth.

Bottom line? These traditional ideas offer comfort but not freedom. The wealthy operate on ownership, leverage, and strategic investing. If your financial plan still relies on outdated advice, you may be playing it too safe to ever break out. Time to rewrite the rulebook.

SUPERCHARGE YOUR INVESTING SKILLS

STOCK SCREENER TO UP YOUR GAME

Debt free fast growers with high promoter stake
by Dhrubojyoti Sinha

debt =0 AND
YOY Quarterly profit growth > 15 AND
YOY Quarterly sales growth >15 AND
Equity capital <6 AND
Promoter holding >70

Thanks for reading.

Until Sunday with our Startup Special!

Hanoomaan India Business team

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