Utkarsh Small Finance Bank is all set to launch its initial public offering (IPO) on July 12.
Utkarsh Small Finance Bank was incorporated in 2016 and started operations in 2017.
Unlike Non-Banking Financial Companies (NBFCs), which generally specialize in specific loan products.
The IPO of Utkarsh Small Finance Bank includes fresh equity issue of up to Rs 500 crore.
The price band for the IPO of Utkarsh Small Finance Bank has been set at Rs 23-25 per share.
The IPO allocation is structured as follows: 75% for qualified institutional buyers (QIBs), 15% for non-institutional investors (NIIs) and 10% for retail investors.
In the financial year ending March 2023, Utkarsh Small Finance Bank reported a total income of Rs 2,804 crore with a net profit of Rs 404 crore.
The proceeds from the IPO will be used to strengthen the Tier 1 capital base of the bank to meet future capital requirements.
The bank has registered the third fastest gross loan portfolio growth among small finance banks between financial years 2019 and 2023.
ICICI Securities and Kotak Mahindra Capital Company are the book running lead managers for the IPO of Utkarsh Small Finance Bank.
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