Jana Small Finance Bank IPO opens on Feb 7 — Price band fixed at ₹393 to ₹414 per share

Share allotment date is 12th February 2024, and the IPO will be listed on 14th February 2024 on the stock exchange


Ahmedabad, Feb 4: The initial public offering (IPO) of Jana Small Finance Bank Limited is going to hit the Indian primary market on February 7 of 2024. The company has fixed the price band at ₹393 to ₹414 per equity share. 

MD & CEO. Ajay Kanwal is Jana Small Finance Bank’s Chief Executive Officer. He is a veteran consumer and commercial banker with 32 years’ experience in the industry. Abhilash Sandur is the Chief Financial Officer of the company, while Rajesh Rao is the Chief Operating Officer and Satish Ramachandaran is the Chief Risk Officer.

Ajay Kanwal and team was in Ahmedabad on Saturday to brief the media about the IPO announcement.

Total Operating Income rose 18.23% to Rs 693.71 crore in the quarter ended March 2022 as against Rs 586.75 crore during the previous quarter ended March 2021. For the full year,net profit declined 93.58% to Rs 5.41 crore in the year ended March 2022 as against Rs 84.31 crore during the previous year ended March 2021.

Jana Small Finance Bank Limited (Jana Small Finance Bank) is the fourth largest Small Finance Bank, in terms of AUM and the fourth largest Small Finance Bank in terms of deposit size as of March 31, 2023. (Source: Fitch Report).

The old name of Jana bank is Janalakshmi Financial Services.

Capital Small Finance Bank initial public offering (IPO) will open for subscription on February 7, 2024 and closes on February 9, 2024. The price band of the offer has been fixed at ₹445 to ₹468 per share, with a face value of ₹ 10.

Interestingly, Small Finance Banks are no longer small. Within the 6-7 years of their existence, they have made their mark. The loan books of SFBs have grown at 40% CAGR as compared to 18% of private sector banks in the last four years, till March 2022. And currently, the SFB segment is seeing big action.

Jana Small Finance Bank is engaged in providing MSME loans, affordable housing loans, and term loans to NBFC, loans against fixed deposits, two-wheeler loans and gold loans.

The IPO includes sale of fresh equity shares worth Rs 462 crore. Existing shareholders will offload up to 26,08,629 shares from their stake via offer-for-sale (OFS). At the upper end of the price band, the lender is looking to raise a total of Rs 570 crore via IPO. Jana SFB has reserved shares worth Rs 13.50 crore for its eligible employees.

It also has a digital presence, providing mobile and internet banking services to both retail and corporate customers. Between March 31, 2021, and March 31, 2023, the bank’s gross secured advances increased from ₹50,760.00 million to ₹99,047.54 million, resulting in a CAGR of 39.69%.

(Disclaimer:  We suggest investors to check with certified experts before making any investment decisions.)