ET Intelligence Group: The initial public offering (IPO) of PNB Housing public offering (IPO) of PNB Housing Finance (PNBHF) to raise Rs 3,000 crore offers a good opportunity for long-term investors to participate in the country's growing housing finance market. The IPO is attractively priced compared with some of the listed peers since PNBHF currently enjoys strong loan book growth with higher proportion of retail business.Through the IPO, Punjab National Bank (PNB) will reduce its stake in PNBHF to 39% from 51%. The stake of other shareholder, Destimoney Enterprise (DEL), which is now owned by Quality Investment Holdings, will go down from 49% to about 37%. In the housing loan segment, retail loans constitute 86%. Though the growth rate may come down with a bigger loan book, it is likely to remain healthy.

Source: Economic Times October 24, 2016 04:01 UTC