Ujjivan Bank IPO Listing

Ujjivan Small Finance Bank (Ujjivan Bank) IPO Detail

Ujjivan Small Finance Bank IPO Detail

Ujjivan Bank’s Profile

On October 7, 2015 after getting RBI approval nod Ujjivan Financial Services Limited incorporated Ujjivan Small Finance Bank Limited on July 4, 2016 and began its operations on February 1, 2017. They got included in the second schedule to RBI Act, 1934 on July 3, 2017.

Promoter Business Overview

They are catering to unserved and underserved segments in India. Their Promoter is Ujjivan Financial Services Limited (UFSL) which commenced operations as NBFC in 2005 and was providing financial services to the ‘economically active poor’ with prima facie small support to economically active Poor Women which are not adequately served by Financial Institutions. It also offers loans to Micro and Small Enterprises (MSE’s)

Ujjivan Small Finance Bank (USFB) Business Overview

UFSB is among the leading small finance bank in India, they have launched “Sampoorna Banking” in Apr’19 whereby offering Education Loan, Vehicle Loan and insurance to families of existing micro banking customers with its reach in 24 states and union territories encompassing 221 districts. They are authorised to run Aadhar Enrollment Centers (AECs)

As on Jun 30, 2019 they have served 4.72 million customers with 287 Banking points, 387 ATMs and two 24X7 phone banking units in Bengaluru and Pune.

Ujjivan Small Finance Bank (USFB) Products and Services

  1. Micro Loans to Individuals and groups,
  2. Agriculture and allied loans,
  3. Micro and small enterprise (MSE) Loans.
  4. Affordable housing loans
  5. Financial Institutions group Loans
  6. Personal loans
  7. Vehicle Loans

USFB has made significant investment in automation of its operations. They offer various services like Internet Banking, Mobile Banking, SMS Banking, Online Bill payments, Rupay Platinum Debit Cards, repayments through digital wallets and payment gateways, Automated credit processing and collection receipt system that brings down loan origination turnaround time for its customers.

There primary focus is on young middle class customers across India with intention to reduce cost and increase operational efficiencies.

Strengths

  1. Deep understanding of Unserved and Underserved segments.
  2. Pan India Presence.
  3. Multiple Delivery channels and products.
  4. Focus on Digitisation.
  5. Strong promoter backup with Business Knowledge.
  6. Profession team of quality people in organisation.

Financial Information (Fig Rs. in Cr.)

 Jun 2019Mar 2019Mar 2018
Interest Income605.371,831.611,467.88
Interest Expenses252.92725.20606.86
Net Interest Income352.451,106.41861.01
    
Total Income705.502,037.581,579.36
Expense611.021,838.361,572.49
PAT94.48199.226.86

Objects of the Issue

  1. To meet the RBI Tier – 1 capital requirements
  2. To meet Issue Expense
  3. Benefit from listing on stock market

Ujjivan Bank IPO Registrar 

Ujjivan Bank IPO Lead Manager(s)

Karvy Computershare Private Limited

Karvy Registry House, 8-2-596, St No. 1, HYD – A.P.

Phone: +91-40-23312454

IIFL Holdings Limited

JM Financial Consultants Private Ltd

Kotak Mahindra Capital Company Ltd

Ujjivan Bank IPO Schedule

Offer start Date2 Dec 2019
Offer End Date4 Dec 2019
Finalisation of Basis of allotment9 Dec 2019
Initiation of Refunds10 Dec 2019
Credit of shares to Demat Accounts11 Dec 2019
Listing date of USFB IPO12 Dec 2019

 Ujjivan Bank IPO Details 

 Issue Dates Dec 2, 2019 – Dec 4, 2019 
 Issue Size  Rs. 750 Cr. (Approx)
 Face Value  Rs. 10 Per Share 
 Price Band  Rs. 36 – Rs. 37 per share*
Min & Market Lot  400 Shares
Listing at
BSE, NSE
Min Investment Amt (Retail)
Rs. 14,800/- (1 Lot)
Max Investment Amt (Retail)
Rs. 192,400 (13 Lot)

* Note : There is a discount of Rs. 2 per share for UFSL shareholders with cut off date 22nd Nov’2019, so effective rate would be Rs. 35 per share with reservation of 2,08,33,333 shares.

Ujjivan Small Finance Bank IPO Subscription Status (NSE + BSE)

Ujjivan Bank IPO Subscription Status

Recommendation for Ujjivan Bank IPO

The main peer of Ujjivan Small Finance bank is AU small finance bank which is available at a fair valuation, the Ujjivan small finance bank has strong back up of promoter but NPAs are major concern faced by banking industry even small finance banks these days. The net interest income (NII) of bank is constantly growing with a good pace giving strong bank to its financials. However, we recommend to apply for this IPO with care and investors with healthy risk appetite can apply for long term and bank have the capability to provide handsome returns in longrun. Further, based on subscription figures of Day one and day two one can consider for applying in this IPO for listing gains.

Ujjivan Bank GMP/Ujjivan Small finance Bank GMP

The GMP of Ujjivan Bank IPO is expected to remain between Rs. 20 – 22 per share as on December 3, 2019.

Frequently Asked Questions (FAQs)

Ujjivan Small Finance Bank begans its operations on Feb 1, 2017 and providing services to unserved and underserved segments in india, it is now going to list on market for Capital needs and to expand its business operations.

Ujjivan Small Finance Bank’s IPO is coming on December 2- December 4, 2019 with Price Band of Rs. 36 – Rs. 37 per share.

The basis of allotment will be finalised on December 9, 2019 and allotted shares will be credited to demat account by December 11, 2019.

Present Grey market Premium (GMP) of Ujjivan Bank IPO is Rs. 20 – Rs. 22 per share as on December 3, 2019.

The tentative listing Date of Ujjivan Bank IPO is December 12, 2019

There is a discount of Rs. 2 per share for its Holding Company UFSL (Ujjivan Financial Services Ltd) shareholders with cut off date 22nd Nov’2019, so effective rate would be Rs. 35 per share (at upper price band) with reservation of 2,08,33,333 shares to be applied through Shareholder Category.

Ujjivan Small Finance Bank IPO Rating
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Parvez Akhtar
December 3, 2019 10:30 pm

hello I have two demat accounts can i apply 1 lot from both accounts….

Imtiaz Bano
Imtiaz Bano
November 28, 2019 11:53 am

Can i apply for shares worth more than Rs.2 lakh from my demat account

Narender Pal Jeet Singh Bajwa
Narender Pal Jeet Singh Bajwa
November 28, 2019 11:08 am

Rs. 10 – 13 is a handsome GMP for ujjivan Bank IPO it can give a minimum Rs. 4000 per application, so I am going for it…

Naveen Sharma
Naveen Sharma
November 28, 2019 11:03 am

I think this is a good ipo, and can give good listing gains. Must apply

Manjeet
December 3, 2019 10:38 pm

can we have profit in apply this

Manish Gupta
December 3, 2019 10:21 pm

At how much price CSB is expected to list tomorrow.

PPP
PPP
November 30, 2019 5:43 pm

What is the anchor booking for this issue?

Rupesh Sharma
Rupesh Sharma
November 28, 2019 1:52 pm

Dont know abt others but I am going to apply from all my 5 accounts

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