Bandhan Bank, a Kolkata-based micro finance institution-turned-bank founded by Chandra Shekhar Ghosh, announced a Rs 4,473 crore initial public offering on the International Women’s Day, as a tribute to its 10 million women customers.
The IPO will be the largest so far in 2018.
Ghosh, managing director and CEO, Bandhan Bank, while announcing the public offer said, “10 million of our 12 million customers are women. There is no such bank in the world with a differentiated business model and reaching every level of the people.”
Uday Kotak, managing director, Kotak Mahindra Bank, said, “The bank is primarily focused on serving the under-banked and underserved market in India.”
On the timing of the public issue, at a time when bank stocks were under pressure, Vishal Kampani, managing director, J M Financial, one of the book running lead manager, said, “Markets will always be volatile, we cannot restrain the bank from raising the capital.”
Bandhan Bank’s public offer in the price band of Rs 370 to Rs 375 per equity share of Rs 10 face value opens on March 15 and closes on March 19.
Bandhan Bank, one of the largest micro-finance player in terms of asset size was selected by the Reserve Bank of India in 2014 for award of banking licence and finally granted the licence in June 2015.
In terms of the RBI New Bank Licensing Guidelines, the equity shares of the bank are required to be listed on stock exchanges within three years of commencement of business. For Bandhan Bank it should be on or before August 22, 2018 as the bank started operations in August 2015.