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EASF Small Finance Bank to file DHRP

November 04, 2022

EASF Small Finance Bank to file DHRP
ESAF Small Finance Bank is looking to refile documents for an initial public offering (IPO) in December, the Kerala-based lender’s managing director and chief executive officer Kadambelil Paul Thomas said on November 3.

“We could not complete (the IPO) in the earlier timeline. We got the approval last year but we could not complete (the IPO process),” Thomas told reporters on the sidelines of the annual banking conference organised jointly by the Federation of Indian Chambers of Commerce and Industry (FICCI) and the Indian Banks’ Association (IBA) in Mumbai.

“We are in the process of refiling the draft prospectus. In a month’s time in December we will file it.”

ESAF Small Finance Bank had in October 2021 got the Securities and Exchange Board of India’s nod to go ahead with the IPO.

The ₹997.78-crore IPO comprised a fresh issue of equity shares worth ₹800 crore and an offer for sale of ₹197.78 crore by existing shareholders, the draft red herring prospectus (DRHP) had said.

As per SEBI guidelines, the IPO or rights issue needs to open within a year of approval or issuance of observations by the capital market regulator.

Thomas said on November 3 that the bank would “mostly” be going for a reduced IPO size in the refiled DRHP. He did not elaborate on the revised issue size.

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