Suryoday Small Finance Bank has received capital markets watchdog Sebi’s go ahead to float an initial share-sale.
The initial public supplying (IPO) comprises fresh issuance of 1,15,95,000 equity shares and an provide for sale of up to 84,66,796 equity scrips by current shareholders, according to the draft papers filed with Securities and Exchange Board of India (Sebi).
Those supplying shares by means of the OFS (provide for sale) route contain International Financial Corporation (IFC), Gaja Capital, HDFC Holdings, IDFC First Bank, Kotak Mahindra Life Insurance Company, DWM (International) Mauritius Ltd and Americorp Ventures.
The bank, which filed its preliminary papers for the IPO in October, obtained Sebi’s observation on December 23, an update with the markets watchdog showed on Monday.
Sebi’s observation is incredibly essential for any organization to launch public troubles like initial public provide, stick to-on public provide and rights situation.
The bank has proposed to utilise the net proceeds from the fresh situation towards augmenting its Tier-1 capital base to meet future capital specifications.
The smaller finance bank has more than 20 institutional investors with a mix of institutional investors, improvement funds, and private equity investors.
As of March 2020, the net worth of the bank stood at about Rs 1,000 crore with a capital adequacy ratio of 30 per cent.
It has a deposit base of more than Rs 2,800 crore and a gross loan portfolio of about more than Rs 3,700 crore.
Axis Capital, ICICI Securities, SBI Capital Markets and IIFL Securities are the merchant bankers for the situation.
Shares of the bank will be listed on BSE and NSE.