Utkarsh Small Finance Bank raises ₹240 cr via private placement of shares
- On 6 March, the lender had filed draft share sale documents with the Securities Exchange Board of India to raise ₹1,350 crore through an initial public offering
Mumbai: Varanasi-headquartered Utkarsh Small Finance Bank has raised ₹240 crore through private placement of shares to six investors. The lender has allocated 89.06 million shares at ₹27 per share, it informed the bourses on Monday.
On 6 March, the lender had filed draft share sale documents with the Securities Exchange Board of India to raise ₹1,350 crore through an initial public offering (IPO).
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The lender said it allotted 37.04 million equity shares to Olympus ACF Pte. Ltd; 13.44 million equity shares to responsAbility Participations Mauritius; 12.96 million equity shares to Aavishkaar Bharat Fund; and 8.54 million equity shares each to Triodos Sicav II - Triodos Microfinance Fund, Legal Owner Triodos Funds B.V. (in its capacity as legal owner of Triodos Fair Share Fund) and Growth Catalyst Partners LLC.
Kotak Mahindra Capital Company Ltd was the financial advisor to the bank for the concluded private placement round.
The lender's initial offer comprises a fresh issue of up to ₹750 crore and an offer for sale by Utkarsh Coreinvest Ltd, aggregating up to ₹600 crore.
ICICI Securities, IIFL Securities and Kotak Investment Banking will manage the share sale.
The lender had said it may consider a pre-IPO placement of shares of up to ₹250 crore after consultations with the investment banks managing the share sale.
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The proceeds from the issue will be utilized towards the augmentation of Tier-I capital base to meet its future capital requirements. As of September 2020, its CRAR was 24.87% (Tier I capital of 19%).
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