03-Feb-2024
2 mins read
Capital Small Finance Bank Limited IPO 2024 is open for subscription from Wednesday, February 7, 2024 and will close on Friday, February 9, 2024. The price band for this IPO is decided at Rs 445 to Rs 468 per share. The minimum lot size of this application for the retail category has 32 shares. The minimum lot size for small non-institutional investors is 14 lots consisting of 448 shares. Whereas, the minimum lot for big non-institutional investors is 67 lots consisting of 2144 shares. The minimum amount of investment required for retail category investors is Rs 14,904 (468 x 32 shares). However, for small non-institutional investors the minimum investment amount is required Rs 2,08,656 ( 468 x 448 shares) and for big non-institutional investors is Rs 10,03,392 (468 x 2144 shares).
Capital Small Finance Bank Limited IPO 2024 is a book-built issue of Rs 523.07 crores. The issue is a combination of the fresh issue and offer for sale. The fresh issue consists of 0.96 crore shares amounting to Rs 450.00 crores. However, offer for sale consists of 0.16 shares amounting to Rs 73.07 crores. The allotment for this IPO is expected to be finalized on Monday, February 12, 2024. Capital Small Finance Bank Limited IPO will list on both BSE, NSE and listing date fixed on Wednesday, February 14, 2024. The book running lead manager of Capital Small Finance Bank Limited is Nuvama Wealth Management Limited, Dam Capital Advisors Limited, Equirus Capital Private Limited. The registrar for this IPO is Link Intime India Private Limited.
About Capital Small Finance Bank Limited
Capital Small Finance Bank was incorporated in 1999, it is engaged in a banking business. In 2016, this company became the first NBFC microfinance entity to receive the SFB license. The bank had a strong presence in semi-urban and rural areas with a branched based operating model. The bank is trying to bring modern banking to the rural areas at low cost. The bank introduced 7-Day branch banking and extended banking hours since its first day of operations. The bank transitioned from a Local Area Bank to a Small Finance Bank with 47 branches. In a short span of time128 new branches got operational taking the number of branches to 175. After establishing a strong footprints in Punjab, the bank has now started to expand to the states of Delhi, Haryana, Rajasthan, Himachal Pradesh along with Union Territory of Chandigarh. The total business of the Bank has crossed Rs.12,000 crores with over 7,93,000 accounts. The Bank has 70% of its business in rural and semi urban areas, with priority sector lending of 87.72% of the Adjusted Net Bank Credit as on March 31, 2023. The Bank is extending loans primarily to small borrowers. As on March 31, 2023, 67.80% of the total advances are up to the ticket size of Rs. 25 lacs.
Objectives of this IPO
The objective of this IPO is to expand the bank’s operation in the Tier-1 cities. The net proceeds from the issue will be utilized to fund the capital requirements of the bank in Tier-1 which will help to increase the customer base. Other than this, the funds will also cover the issue expenses. Moreover, the bank will receive the benefit of listing equity shares on the exchanges.
Financial Performance of Capital Small Finance Bank Limited
Company’s revenue increased by 14.72% and profit after tax increased by 49.59% between the financial year ending with March 31, 2023 and March 31, 2022.
| Period Ended | 30-Sep-23 | 31-Mar-23 | 31-Mar-22 | 31-Mar-21 |
| Assets | 8,390.69 | 7,990.77 | 7,153.92 | 6,371.24 |
| Revenue | 415.22 | 725.48 | 632.4 | 557.27 |
| Profit After Tax | 54.39 | 93.6 | 62.57 | 40.78 |
| Net Worth | 711.76 | 610.61 | 515.78 | 450.79 |
| Reserves and Surplus | 676.41 | 576.36 | 481.74 | 416.88 |
| Total Borrowing | 572.76 | 721.38 | 498.43 | 616.72 |
| Amt in crores |
Other Important Details of Capital Small Finance Bank Limited IPO
| IPO Date | February 7, 2024 to February 9, 2024 |
| Listing Date | 14-Feb-24 |
| Face Value | Rs10 per share |
| Price Band | Rs 445 to Rs 468 per share |
| Lot Size | 32 Shares |
| Total Issue Size | 11,176,713 shares (amounting to Rs 523.07 Crore) |
| Fresh Issue | 9,615,384 shares (amounting to Rs 450.00 Crore) |
| Offer for Sale | 1,561,329 shares of Rs 10 (amounting to Rs 73.07 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Shareholding pre issue | 35,350,636 |
| Shareholding post issue | 44,966,020 |
Lot Size of Capital Small Finance Bank Limited IPO
| Application | Lots | Shares | Amount |
| Retail (Min) | 1 | 32 | Rs 14,976 |
| Retail (Max) | 13 | 416 | Rs 194,688 |
| S-HNI (Min) | 14 | 448 | Rs 209,664 |
| S-HNI (Max) | 66 | 2,112 | Rs 988,416 |
| B-HNI (Min) | 67 | 2,144 | Rs 1,003,392 |
IPO Reservation of Capital Small Finance Bank Limited
| Investor Category | Shares Offered |
| QIB Shares Offered | Not more than 50% of the Net Issue |
| Retail Shares Offered | Not less than 35% of the Net Issue |
| NII (HNI) Shares Offered | Not less than 15% of the Net Issue |
Promoters of Capital Small Finance Bank Limited and Their Holdings
The promoters of the Bank, namely Sarvjit Singh Samra, Amarjit Singh Samra, Navneet Kaur Samra, Surinder Kaur Samra and Dinesh Gupta
| Shareholding Pre Issue | 24.01% |
| Shareholding Post Issue |
Time-Table of Capital Small Finance Bank Limited IPO 2024
| IPO Open Date | Wednesday, February 7, 2024 |
| IPO Close Date | Friday, February 9, 2024 |
| Basis of Allotment | Monday, February 12, 2024 |
| Initiation of Refunds | Tuesday, February 13, 2024 |
| Credit of Shares to Demat | Tuesday, February 13, 2024 |
| Listing Date | Wednesday, February 14, 2024 |
| Cut-off time for UPI mandate confirmation | 5 PM on February 9, 2024 |
Key Performance Indicator of Capital Small Finance Bank Limited IPO 2024
The market capitalization of Capital Small Finance Bank Limited is Rs 2049.48 crore.
| KPI | Values |
| ROE | 16.45% |
| Debt/Equity | 0.95 |
| RoNW | 15.33% |
| P/BV | 2.63 |
| Pre IPO | Pre IPO | Post IPO |
| EPS (Rs) | 26.48 | 24.19 |
| P/E (x) | 17.68 | 19.35 |
Lead Manager(s) of Capital Small Finance Bank Limited IPO 2024
The lead manager for Capital Small Finance Bank Limited IPO is Nuvama Wealth Management Limited, Dam Capital Advisors Limited, Equirus Capital Private Limited.
How to Apply for Capital Small Finance Bank Limited IPO 2024
Wait for the public issue to open for subscription, then click on this link to apply for the Capital Small Finance Bank Limited IPO with Bigul https://ipo.bonanzaonline.com/.
How to Check Allotment Status of Capital Small Finance Bank Limited IPO 2024
The registrar for Capital Small Finance Bank Limited IPO is Link Intime India Private Limited. To check your allotment status, please click on this link below https://linkintime.co.in/Initial_Offer/public-issues.html
FAQs
- What is Capital Small Finance Bank Limited IPO 2024?
Capital Small Finance Bank Limited IPO 2024 is a book-built issue of Rs 523.07 crores. The issue is a combination of the fresh issue and offer for sale. The price band for this IPO is decided at Rs 445 to Rs 468 per share.
The minimum lot size of this application for the retail category has 32 shares. The allotment for this IPO is expected to be finalized on Monday, February 12, 2024. Capital Small Finance Bank Limited IPO will list on both BSE, NSE and listing date fixed on Wednesday, February 14, 2024.
- Who are the lead managers for the Capital Small Finance Bank Limited IPO 2024?
Nuvama Wealth Management Limited, Dam Capital Advisors Limited, Equirus Capital Private Limited are appointed as the lead managers for the IPO.
- What is the role of Link Intime India Private Limited in this IPO?
Link Intime India Private Limited is the registrar for the Capital Small Finance Bank Limited handling the IPO’s administrative aspects.
- How can I apply for the Capital Small Finance Bank Limited IPO 2024?
The public subscription of this IPO will open on February 7, 2024. Visit Bigul website for the application process.
- How will the net proceeds from the IPO be utilized?
The net proceeds from the issue will be utilized to fund the capital requirements of the bank in Tier-1 which will help to increase the customer base. Other than this, the funds will also cover the issue expenses.
- How can I check the allotment status of the IPO?
You can check the allotment status of the Capital Small Finance Bank Limited IPO 2024 by visiting https://linkintime.co.in/Initial_Offer/public-issues.html
- What is the financial performance of Capital Small Finance Bank Limited?
Company’s revenue increased by 14.72% and profit after tax increased by 49.59% between the financial year ending with March 31, 2023 and March 31, 2022.
