The company will sell its shares in the range of Rs 500-525 apiece. The proposed primary offering is open for subscription till September 7 (Wednesday).
The IPO is entirely a fresh issue of up to 1,58,40,000 equity shares with a face value of Rs 10 each, aggregating to Rs 831.6 crore. TMB is a professionally managed bank and does not have any identifiable promoters.
It is among the oldest private lenders in the country and offers a range of banking and financial services primarily to micro, small and medium enterprises, agricultural and retail customers.
Investors can make a bid for a minimum of 28 equity shares and in multiples thereafter. The anchor book will open on Friday, September 2.
The Thoothukudi (formerly Tuticorin)-based private lender plans to utilise the net proceeds from the issue towards augmenting its tier–I capital base to meet its capital requirements and get the benefits of listing on the stock exchanges.
The lender has a customer base of 50.8 lakh, of which 41.8 lakh or about 85 per cent, comes from Tamil Nadu itself. However, it has a presence in Gujarat, Maharashtra, Karnataka, Andhra Pradesh and Delhi.
The lender had 509 branches, with 106 located in rural areas, 247 in semi-urban locations, 80 in urban and 76 in metropolitan centres as of March 31, 2022.
For the year ended on March 31, 2022, the company had reported total revenue of Rs 4,656.44 crore with a net profit of Rs 821.9 crore. In the previous fiscal, it had clocked a revenue of Rs 4,253.4 with a net profit of Rs 603.33 crore.
For FY 2021-22, its gross NPA stood at 1.69 per cent, down from 3.44 per cent the previous year. TMB’s net NPA also fell to 0.95 per cent from 1.98 per cent during the same period under review.
Up to 75 per cent of the total offer is reserved for qualified institutional buyers, and 15 per cent for non-institutional investors. The remaining 10 per cent stake is allocated to retail investors.
Axis Capital,
Capital Markets and Investment Advisors are the book-running lead managers for the offer, whereas Link Intime India is the registrar to the issue.
