Suryoday Small Finance Bank share makes tepid debut, lists at 4% discount to issue price

The stock of Suryoday Small Finance Bank listed at a discount of over 4% against the issue price of Rs 305 per share today. The share opened at Rs 292, Rs 13 or 4.26% lower than the issue price on NSE. Market cap of the lender stood at Rs 2,450 crore.

On BSE, the share made its debut at  Rs 293, 3.93% lower than the issue price. Market cap of the bank stood at Rs 2,981 crore. Price band for the share sale was fixed at Rs 303-305 per share. The IPO of the lender subscribed 2.37 times on the last day of subscription on March 19.

The share sale was held from March 17 to March 19. One lot of the IPO comprised 49 shares for which 14,945 would have to be spent.  Maximum of 13 lots containing 637 shares could have been bought for Rs 1,94,285.

The Rs 582-crore issue received bids for 3,20,66,482 shares against 1,35,15,150 shares on offer, as per NSE data.

The portion for qualified institutional buyers (QIBs) was subscribed 2.18 times, non-institutional investors 1.31 times and retail individual investors (RIIs) 3.09 times. Allotment of shares was done on March 24, 2021.

The IPO of 19,093,070 equity shares comprised a fresh issue of up to 8,150,000 equity shares and an offer for sale of up to 10,943,070 equity shares. On March 16, the bank raised a little over Rs 170 crore from anchor investors. The bank has proposed to utilise the net proceeds from the fresh issue towards augmenting its capital base to meet future capital requirements.

Suryoday Small Finance Bank IPO opens today: Check price band, other details

The small finance bank has over 20 institutional investors, including development funds and private equity investors.

Axis Capital, ICICI Securities, IIFL Securities and SBI Capital Markets were the managers to the offer.

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