ESAF Small Finance Bank IPO makes an impressive debut on the exchange; lists at 20% premium
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Shares of ESAF Small Finance Bank Limited made an impressive debut on the exchange listing at a 20% premium.
The scrip listed Rs 71.90 per share on BSE and Rs 71 per share on NSE, at a premium of 19.83% and 18.33% respectively. The company's share price closed at Rs 69.05 per share on the BSE, a 15.08% premium, and at Rs 68.80 per share on the NSE, a 14.67% premium.
As per NSE, the total quantity traded stood at 689.52 lakh shares, on BSE the total Quantity stood at 49.42 lakh shares. Total Turnover (BSE+NSE) on Day 1 stood at Rs 528.76 crore.
K. Paul Thomas, Founder, MD & CEO of ESAF Small Finance Bank Ltd, extends heartfelt appreciation to the true architects of the success of the IPO – the investors. "Your confidence in our journey, business, and market potential forms the bedrock of our triumph. This milestone signifies a significant achievement, and as we look ahead, we remain dedicated to delivering long-term value not only to our shareholders but also to our valued customers."
The Market Capitalization of the Company at today’s closing price stood at Rs. 3,554.55 Crore as per BSE and Rs. 3,541.68 Crore as per NSE.
The SFB had offered Rs 463-crore issue for subscription from November 3 to November 7. This garnered substantial interest, and the offer was subscribed 73.15 times. Qualified Institutional Buyer and Non-Institutional Investors Portion was subscribed 173.52 times and 84.37 times respectively. Retail Portion was subscribed 16.97 times, whereas Employee Portion was subscribed 4.36 times.
ESAF Small Finance Bank is a small finance bank with a focus on unbanked and under-banked customer segments, especially in rural and semi-urban centers. Its primary products are advances and deposits (current accounts, savings accounts, term deposits, and recurring deposits). Its advances comprise of Micro Loans (comprising Microfinance Loans and Other Micro Loans), retail loans (such as gold loans, mortgages, personal loans, and vehicle loans), MSME loans, loans to financial institutions, and agricultural loans.
It has a network of 700 banking outlets (including 59 business correspondent-operated banking outlets), 767 customer service centers (operated by its business correspondents), 22 business correspondents, 2,116 banking agents, 525 business facilitators, and 559 ATMs spread across 21 states and two union territories, serving 7.15 million customers as at June 30, 2023.
As of June 30, 2023, 62.97% of their gross advances were directed toward customers in rural and semi-urban areas, and 71.71% of their banking outlets were located in these regions. The bank has 72% branches present in rural and semi-urban regions as of June 30, 2023.
ICICI Securities Limited, DAM Capital Advisors Limited, and Nuvama Wealth Management Limited (formerly known as Edelweiss Securities Limited) are the book-running lead managers and Link Intime India Private Limited is the registrar to the offer. The equity shares are proposed to be listed on BSE and NSE.
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