Capital Small Finance Bank, which is the first one to start operating in the small finance bank space, has received market regulator Securities & Exchange Board of India’s permission to launch an initial public offer.
The proposed IPO consists of a fresh issue of Rs 450 crore and an offer for sale (OFS) of up to 2,412,685 equity shares.
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Oman India Joint Investment Fund, PI Ventures, Amicus Capital would be looking to offload parts of their holdings in Capital Small Finance Bank through OFS.
The bank’s gross advances stood at Rs 5,784 crore at the end of September 2023.
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The Jalandhar-based lender was the country’s largest local area bank in its earlier avatar before converting into a small finance bank in 2016.
Almost 99.8% of its loan portfolio is secured as it had no microfinance legacy unlike most other SFBs.
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Agriculture loans, MSME and trading loans contribute most of its portfolio.
