SBFC Finance Shares End At 62.72% Premium Over IPO Price On Market Debut
The shares ended at a premium of 62.97% over the IPO price to close at Rs 92.75 apiece.
Shares of SBFC Finance Ltd. were listed at Rs 82 apiece on the National Stock Exchange, a premium of 43.85% over the IPO price of Rs 57. On the BSE, the stock debuted at Rs 81.99, a 43.84% premium.
The shares ended at a premium of 62.97% over the IPO price to close at Rs 92.75 apiece.
The Rs 1,025-crore IPO was subscribed to 70.16 times. The bids were led by qualified institutional buyers, who subscribed 192.90 times, followed by non-institutional investors, who subscribed 49.09 times. Retail investors subscribed 10.99 times. The portion reserved for employees was subscribed to 5.87 times.
The company raised Rs 304 crore from anchor investors ahead of the IPO. It allocated 5.34 crore shares to 37 funds at an average price of Rs 57 apiece, according to the BSE circular.
SBFC Finance specialises in secured micro, small and medium enterprises loans and loans against gold. Its assets under management witnessed growth, with a compound annual growth rate of 44% from fiscal 2019 to fiscal 2023.
The company caters to entrepreneurs, small business owners and self-employed individuals, with a primary focus on underserved customers in tier-2 and tier-3 cities. With 152 branches in 120 cities across 16 states and two union territories, the company has a nationwide presence, which helps maintain low levels of assets under management concentration per state.
