ESAF Small Finance Bank Shares Debut With 20 Per Cent Premium

The Initial Public Offering (IPO) of ESAF Small Finance Bank was subscribed 73.15 times on the last day of subscription on Tuesday

The Rs 463-crore initial share sale had a price range of Rs 57-60 a share.

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ESAF Small Finance Bank shares on Friday listed with a premium of nearly 20 per cent against the issue price of Rs 60 on the exchanges. The stock made its debut at Rs 71.90, rallying 19.83 per cent from the issue price on the BSE. It later jumped 24.5 per cent to Rs 74.70. On the NSE, shares of ESAF Small Finance Bank began the trade at Rs 71, up 18.33 per cent.

The Initial Public Offering (IPO) of ESAF Small Finance Bank was subscribed 73.15 times on the last day of subscription on Tuesday.

The Rs 463-crore initial share sale had a price range of Rs 57-60 a share.

ESAF Small Finance Bank is one of the leading small finance banks in India in terms of client base size, yield on advances, net interest margin, assets under management, Compound Annual Growth Rate (CAGR), total deposit CAGR, loan portfolio concentration in rural and semi-urban areas and ratio of micro loan advances to gross advances. 

The company said it has collected Rs 135 crore from anchor investors. Proceeds of the fresh issue will be utilised to augment the bank's Tier-1 capital base.

The company commanded a market valuation of Rs 3,685.82 crore during the morning trade.

ESAF Small Finance Bank is one of the leading small finance banks in India in terms of client base size, yield on advances, net interest margin, assets under management, Compound Annual Growth Rate (CAGR), total deposit CAGR, loan portfolio concentration in rural and semi-urban areas and ratio of micro loan advances to gross advances.

ICICI Securities, DAM Capital Advisors and Nuvama Wealth Management were the managers to the offer. The equity shares of the bank will be listed on the BSE and the NSE.