AU Small Finance Bank Limited today announced that it has completed the allotment of equity shares under its Qualified Institutions Placement (QIP) and has successfully raised INR 625.5 crores through the issuance of 50,00,000 (Fifty Lakh) equity shares at an issue price of Rs. 1,251/- per share.
The Issue was launched post-market hours on 9th March 2021 with a Floor Price of Rs. 1,181.06/- per share and witnessed strong reception from both domestic and international institutional investors and the entire QIP was subscribed by sovereign wealth funds, large foreign portfolio investors, life insurance company and domestic mutual funds. Since converting into a Small Finance Bank in April 2017, this is the second primary capital infusion in AU Bank after raising INR 1,000 Cr from Temasek in 2018 and 2019.
Speaking on the fundraise, Mr. Sanjay Agarwal, MD & CEO of AU Bank said, “We have successfully closed the first-ever QIP of the Bank. We received a strong reception from global and local investors which is a testament to the quality of our Banking franchise and our future outlook. The Bank has emerged stronger after the pandemic, and our performance gives us greater confidence to continue serving the small businesses and retail borrowers in the underserved and unserved rural and semi-urban regions of the country. We intend to use the net proceeds from this issue, amongst others, to support the long-term growth of the Bank”.
The Bank would like to thank the regulators, our customers, shareholders, employees, and all other stakeholders for their continued support and faith in us.
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