Equitas Small Finance Bank IPO is all set to hit the Dalal Street on 20 October 2020. The company aims to raise ₹ 517.60 Cr through this book building IPO.
Equitas Small Finance Bank Ltd
The Equitas Small Finance Bank was established in 2007 founded by Equitas. The headquarter is based in Chennai. The company provides microfinance loans promoting financial inclusion, housing finance, vehicle finance, and MSE finance. Equitas Small Fin Bank offers financial products according to customers’ income profile, type of security available, and nature of business.
Unlike other microfinance companies, it has a diversified loan portfolio and less dependence on microfinance business. With the main focus on financially unserved and underserved customers, the bank offers a wide range of banking products and services. Apart from this, the bank also provides current accounts, salary accounts, savings accounts, other deposit accounts, ATM-cum-debit cards, mutual fund products, third party insurance, and issuance of FASTags.
ESFBL follows credit assessment procedures through a risk management framework which is analyzed by its Risk Management Committee. As of 30th Sep 2019, it has the largest distribution channel among Small Finance Banks (SFBs) including 853 Banking Outlets and 322 ATMs in India across 15 states and union territories.
Competitive Strengths
- A well-diversified asset portfolio as SFB.
- Strong retail liability portfolio.
- A customer-centric organization with a focus on unserved and underserved segments.
- Credit assessment procedures.
Basic details about Equitas SFB
| Full name | Equitas Small Finance Bank Ltd |
| Sector | Banking |
| Industy | Bank/Private |
| Company Website | www.equitasbank.com |
Dates to remember
| IPO Open | 20 October 2020 |
| IPO Close | 22 October 2020 |
| Basis of Allotment | 27 October 2020 |
| Refunds date | 28 October 2020 |
| Credit to Demat Account | 29 October 2020 |
| Listing Date | 02 November 2020 |
IPO details
| Issue type | Book Built Issue IPO |
| IPO issue size | ₹510.4-₹517.60 Crores |
| Number of shares offered to the public | 72,000,000 Shares |
| Face value | ₹10 per equity share |
| Price band | ₹32-₹33 per equity share |
| Retail portion | 35% |
| Lot size | 450 Nos |
| Minimum application | 1 lot – 450 shares |
| Maximum application | 13 lot – 5850 shares |
| Minimum application amount | ₹14,850 |
| maximum application amount | ₹193,050 |
| Listing Exchange | BSE & NSE |
Category-wise Break up
Anchor: 4,23,27,273 Shares = 139.68 Crores
QIB: 2,82,18,182 Shares = 93.12 Crores
NII: 2,11,63,636 Shares = 69.84 Crores
RII: 4,93,81,818 Shares = 162.96 Crores (Lot size: 450 = 1,08,771 Forms)
EHL SH Quota: 1,54,54,545 Shares = 51.00 Crores
Empl. Quota: 3,03,030 Shares = 1.00 Crores
Total Issue: 15,68,48,484 Shares = 517.60 Crores.
Financial Summary
| Equitas Bank’s financial performance (in INR crore) | ||||
| FY2018 | FY2019 | FY2020 | Q1 FY2021 | |
| Revenue | 1,772.9 | 2,394.8 | 2,927.8 | 751.0 |
| Expenses | 1,741.1 | 2,184.3 | 2,684.2 | 693.3 |
| Net income | 31.8 | 210.6 | 243.6 | 57.7 |
| Net margin (%) | 1.8 | 8.8 | 8.3 | 7.7 |
Valuation of Equitas SFB (as of FY2020)
| Earnings Per Share (EPS) | ₹2.39 |
| Price/Earnings (PE ratio) | 13.39 – 13.81 |
| Return on Net Worth (RONW) | 8.92% |
| Net Asset Value (NAV) | ₹25.92 per share |
Promoters
Equitas Holdings Ltd
Equitas SFB IPO Lead managers
- JM Financial Limited
- Edelweiss Financial Services Limited
- IIFL Securities Limited
Registrar of Equitas SFB IPO
KFin Technologies Private Limited
Selenium Tower B, Plot 31-32,
Gachibowli, Nanakramguda,
Hyderabad – 500 032, Telangana
Phone: +91 40 6716 2222
Fax: +91 40 2343 1551
Email:equitassmallfinance.ipo@kfintech.com
Website: www.kfintech.com
Equitas SFB Contact Details
Equitas Small Finance Bank Limited
4th Floor, Phase II, Spencer Plaza
No. 769, Mount Road, Anna Salai
Chennai 600 002, Tamil Nadu
Phone: +91 44 4299 5000
Email: secretarial@equitas.in
Website: www.equitasbank.com
Equitas SFB IPO Allotment Status
Equitas Small Finance Bank IPO allotment status will be available on KFin Technologies’ website.
Click on this link to get allotment status.
Final thoughts
Equitas SFB IPO is going to hit Dalal street on 20 october 2020. applying for IPO is purely a personal choice. study well about the company and do subscribe if you are feeling good about the company. I hope this post gave you enough details to make a fundamental study of the company. learn well and make a wise decision.
happy investing
Pingback: IPO List, current-ongoing-listed IPOs - finvestfox.com