ESAF Small Finance Bank debuted on Dalal Street on Friday at a nearly 20% premium or Rs 11 higher than the upper band of the issue price. The stock listed on the National Stock Exchange (NSE) at Rs 71 and on the Bombay Stock Exchange (BSE) at Rs 71.90. According to the grey market, the listing was expected to gain 26-33%.
ESAF Small Finance Bank IPO opened for subscription on Friday, November 3, and closed on Tuesday, November 7. The IPO price band was fixed in the range of Rs 57 to Rs 60 per equity share with a face value of Rs 10 and a lot size of 250 equity shares.
The Rs 463 crore initial public offering (IPO) of the lender prominent in southern India was being subscribed 73.15 times overall. The retail investors portion was subscribed 16.97 times, the Non-institutional Investor portion was subscribed 84.37 times, the Qualified Institutional Buyers (QIB) portion was booked 173.52 times, and the employee portion was subscribed 4.36 times.
The IPO comprises a fresh issue of Rs 391 crore and an offer for sale (OFS) of Rs 72 crore by existing shareholders, ESAF Financial Holdings, PNB MetLife, and Bajaj Allianz Life. The bank intends to utilise the net proceeds from the issue to augment its Tier-I capital base and meet future capital requirements.
With 700 banking outlets and 559 ATMs across 21 states and two union territories, ESAF SFB offers deposits and a range of loan products, primarily targeting rural and semi-urban areas.