Utkarsh Small Finance Bank IPO Subscribed 4.73 Times On Day 1

Utkarsh Small Finance Bank Ltd. launched its initial public offering on Wednesday. The private lender is looking at raising up to a total of Rs 500 crore via issue of fresh equity shares. Utkarsh Small Finance Bank's IPO involves no offer for sale from existing investors.

The company raised Rs 223 crore from anchor investors ahead of IPO. It allocated 8.91 crore equity shares to anchor investors at Rs 25 apiece. State Bank Of India funds, SBI Life Insurance, ICICI Prudential, Kotak Mahindra, Goldman Sachs, Edelweiss Trusteeship and Aditya Birla Sun Life were among anchor investors, according to BSE circular.

• Issue opens: July 12.

• Issue closes: July 14.

• Total issue size: Up to Rs 500 crore.

• Face value: Rs 10 per equity share.

• Offer for sale: Nil.

• Price band: Rs 23-25.

• Lot size: 600 equity shares.

• Listing: NSE, BSE.

SFBs are required to list their equity shares on stock exchanges within three years of reaching a net worth of Rs 500 crore, according to the RBI regulations.

Utkarsh Small Finance Bank has proposed to utilise the net proceeds from the IPO towards augmenting its tier–1 capital base in order to meet its future capital requirements. The proceeds will also be used towards meeting the expenses incurred for the IPO.

The IPO has been fully subscribed 4.73 times as of 5:00 p.m. on July 12.

• Institutional investors: 0.04

• Non-institutional investors: 8.25 times

• Retail investors: 13.75 times.

• Employee reserved: 2.73 times.