Jana Small Finance Bank IPO Priced at Rs 393-414 per Share, to Open on February 7

2 Feb 2024 , 11:48 PM

Bengaluru-based Jana Small Finance Bank has announced the pricing for its upcoming initial public offering (IPO), setting the price band at ₹393-414 per share. The IPO, valued at ₹570 Crore, is scheduled to be open for subscription from February 7 to February 9, with the anchor book opening for a day on February 6.

The public issue comprises fresh shares amounting to ₹462 Crore and an offer-for-sale (OFS) of 26,08,629 equity shares worth ₹108 Crore by six investors. The selling shareholders in the OFS include Client Rosehill, CVCIGP II Employee Rosehill, Global Impact Funds, Growth Partnership II Ajay Tandon Co-Investment Trust, Growth Partnership II Siva Shankar Co-Investment Trust, and Hero Enterprise Partner Ventures.

Ahead of the IPO launch, Jana Small Finance Bank has already raised ₹113.14 Crore through equity shares and compulsorily convertible preference shares (CCPS). The fresh issue proceeds will primarily be utilized to strengthen the bank’s Tier – 1 capital base to meet future capital requirements.

The small finance bank, offering a range of banking products, has allocated 50% of its issue size for qualified institutional buyers, 15% for non-institutional investors, and the remaining 35% for retail investors. Investors can bid for a minimum of 36 equity shares and in multiples of 36 shares thereafter, with the minimum application size for retail investors set at ₹14,904 for 36 shares and a maximum investment limit of ₹1,93,752 for 468 equity shares, in adherence to the IPO investment cap of ₹2 Lakh.

The bank is slated to finalize the basis of allotment for IPO shares by February 12, with the equity shares expected to be credited to successful investors’ demat accounts by February 13. Trading of equity shares on the stock exchanges is anticipated to commence on February 14.

Axis Capital, ICICI Securities, and SBI Capital Markets serve as the book running lead managers for the IPO.