Jul 12, 2023 01:40 PM IST
Utkarsh Small Finance Bank IPO: The public offering, through which the bank aims to raise ₹500 crore, is available for subscription till July 14.
Utkarsh Small Finance Bank IPO: The initial public offering (IPO) of Utkarsh Small Finance Bank (SFB) opened for subscription on Wednesday and will be available for subscription till July 14. Incorporated in 2016, Utkarsh SFB aims to raise up to ₹500 crore with the IPO.
‘IPO fully subscribed’
According to HT’s sister website Mint, which cited data from the Bombay Stock Exchange (BSE), the IPO portion reserved for retail investors took only 30 minutes within launch to become ‘fully subscribed.’ The response from both non-institutional investors (NIIs) and employees, too, was ‘good,’ it noted.
Overall, till 12:06pm, bids for 12,27,66,000 equity shares were received against 12,05,43,477 equity shares on offer; in other words, these were subscribed 1.02 times.
Who subscribed how many times?
Retail investors portion was subscribed 3.79 times, NIIS quota 1.24 times, and employees’ allotment 46%. While 10% of the offer is reserved for the retail investors, 75% is for qualified institutional buyers (QIBs) and the remaining 15% for NIIs.
For the proposed offering, Utkarsh SFB has fixed the price band at ₹23 to ₹25 per equity share.
Why is the IPO being raised?
The bank aims to improve its tier-I capital base and meet future capital needs. As of March, its tier-I capital stood at ₹1844.82 crore.
About Utkarsh Small Finance Bank
It commenced operations in 2017, and offers services across a range of deposit products, which, in turn, includes saving accounts, salary accounts, current accounts, recurring and fixed deposits, and locker facilities.
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