ESAF Small Finance Bank Ltd announced on Tuesday that the price band for its Rs 463-crore initial share offer, which will take place on Indian stock exchanges on November 3, has been set at Rs 57-60 per share.
The company’s initial public offering (IPO) will end on November 7, with the anchor portion opening on November 2.
The company has reduced its goal for a fresh offering of equity shares valued up to Rs 390.70 crore from Rs 486.74 crore. According to the red herring prospectus (RHP), it has also lowered its offer for sale component from Rs 142.3 crore to Rs 72.30 crore.
Promoters ESAF Financial Holdings Pvt Ltd and other shareholders PNB MetLife India Insurance Company Ltd and Bajaj Allianz Life Insurance Company Ltd are selling shares in the OFS.
Investors can also bid for a minimum of 250 equity shares and in multiples of 250 equity shares after that.
ESAF Financial Holdings currently holds 62.46 percent of the small finance bank, while PNB MetLife and Bajaj Allianz Life own 4.75 percent and 3.89 percent, respectively.
The proceeds of the new offering will be used to increase the bank’s Tier 1 capital base.
ESAF Small Finance Bank is one of India’s top small finance banks.
The book-running lead managers for the IPO are ICICI Securities Ltd, DAM Capital Advisors Ltd, and Nuvama Wealth Management Ltd (previously known as Edelweiss Securities Ltd).
The BSE and NSE are considering listing the equity shares.