Afternoon D & C Dedicated To Mumbai
Home > Business > AU Small Finance Bank IPO to open on June 28

AU Small Finance Bank IPO to open on June 28

Tuesday, June 20, 2017
By Dominic Rebello

Jaipur based AU Small Finance Bank, which received RBI license for Small Finance Bank (SFB) on December 20, 2016, proposes to raise Rs. 1912 crore via its maiden initial public offering (IPO) which opens on June 28. The company has fixed a price band of Rs. 355 to Rs. 358 per equity share for face value of Rs. 10. The issue will close on June 30.

AU Small Finance Bank has recently transitioned from a prominent, retail focused non-banking finance company (NBFC) and commenced its SFB operations with effect from April 19, 2017.

The bank, which till recently primarily served low and middle-income individuals and businesses that had Ltd. or no access to formal banking and finance channels, is planning to offer a diverse suite of banking products in near future.

The company operate in 3 business verticals, Vehicle finance, Micro, small and medium enterprises (MSMEs) loans, and Small and medium enterprises (SMEs) loans.

“We wish to catch the imagination of customers and change the old practices that have developed over the years. Our motto is be simple to customers.
We have introduced paperless banking where a person (educated or illiterate) can go directly to the counter and deposit cash,” said Sanjay Agarwal, MD & CEO, AU Small Finance Bank Ltd.

The IPO consists of 53,422,169 shares of face value of Rs 10 each. Through the IPO, the group and the promoter of the company would be diluting their stake by 3 per cent to 33 per cent. Other shareholders - Redwood Investment, International Finance Centre (IFC), Labh Investments, Ourea Holdings and Kedaara Capital Alternative Investments - would also partly offer their stake.

“We have recently sold off our housing finance business at a good rate as according to RBI's guidelines we could not have no products that banks can offer,” said  Agarwal.

The Book Running Lead Managers to the Offer are ICICI Securities Ltd., HDFC Bank Ltd. (Investment Banking Group), Motilal Oswal Investment Advisors Ltd. and Citigroup Global Markets India Private Ltd.. The Equity Shares are proposed to be listed on BSE and NSE.

As of December 31, 2016, company had 300 branches spread across 10 states and one union territory in India and employed 6,092 personnel serving 270,692 active loan accounts.

Tweet
COMMENTS
No Comments Posted
POST YOUR COMMENTS
Name:
Email:
Comments:
 
I hear many women suffering from dyspareunia. Wha
Dr. Rajan B. Bhonsle, M.D. (Bom)
Consulting Sex Therapist & Counsellor
Dr. (Mrs.) Minnu R. Bhonsle, Ph.D.
Consulting Psychotherapist & Counsellor
Astrology
Select Sun sign:
 
Aries (Mar 21 - Apr 20)
Aries (Mar 21 - Apr 20)Opportunities exist but you have to strike the right chord at the right time. Your time has arrived and success will be yours today. A cheerful and happy mood will see you accomplish your work satisfactorily. Colleagues and associates will also respond positively. You may find you have too many things to do and little time left for personal relationships, which has been a cause for concern.
- Advertising -
Whether you want to give your chairs a makeover o
In her quest to find a remote enclave within the
Italy is known for its regional delicacies, and w
Read More