Bandhan Bank IPO
Bandhan Bank to go public: IPO detailsReuters
  • Bank planning to raise raising over Rs 2, 500 crore through IPO
  • The IPO touted as the biggest banking one till date
  • IPO comprises of fresh issue of up to about 10 crore shares

Bandhan Bank, the first micro-finance entity in India to receive the universal banking license from the Reserve Bank of India, is planning to go public with Initial Public Offer (IPO).

The Kolkata-based private sector bank has received the nod from market regulator SEBI (Securities and Exchange Board of India) for raising over Rs 2, 500 crore through an initial share sale.

On January 1 this year, the bank had filed draft red herring prospectus (DRHP) with SEBI and it received "observations" from the regulator on February 1.

Kotak Mahindra Capital Company Ltd, Goldman Sachs (India) Securities Pvt Ltd,  Axis Capital Ltd, JM Financial Institutional Securities and JP Morgan India Private Ltd are the book-running lead managers of the Bandhan Bank's IPO issue.

The equity shares of Bandhan Bank are proposed to be listed on BSE and NSE.

Bandhan Bank's IPO comprises a fresh issue of up to 9,76,63,910 equity shares and an offer for sale of up to 1,40,50,780 scrips by International Finance Corporation (IFC) and up to 75,65,804 shares by IFC FIG Investment Company, report PTI. The Bandhan Bank IPO is touted as the biggest banking IPO till date and expects to raise over Rs 2,500 crore, PTI reports quoting sources.

Bandhan Bank received the universal banking license in 2015 and it is the first micro-finance entity in India transformed into a universal bank.

The first two months of 2018 witnessed a good IPO fund-raising by companies including Newgen Software Technologies, Aster DM Healthcare Ltd, Galaxy Surfactants and Amber Enterprises India have already hit the capital markets.The primary market seems set to get busier in the month of March as well. 

Companies including Hindcon Chemicals, Lemon Tree Hotels, Sarveshwar Foods Ltd, Limited and Barbeque-Nation Hospitality have also got the nod from the Securities and Exchange Board of India to go public.

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