RBL Bank to saddle the bourses

Private sector lender, RBL is all set and ready to make its stock market debut on Aug 31. The Bank’s IPO garnered a lot of attention and was oversubscribed 70 times. This is the first private sector bank in the decade, which is getting listed. Earlier Yes Bank got listed on the national exchanges in 2005.

RBL Bank which planned to raise around Rs 1,215 crore through the initial public offer (IPO) saw an overwhelming response from the subscribers. Bank has fixed a price band of Rs 224-225. HDFC Bank, ICICI Securities, IIFL Holdings, SBI Capital Markets and IDFC Securities are the book running lead managers for the issue. Bank aims to raise its capital base for growth and also to comply with incremental capital needs under the Basel-III norms as well as the Reserve Bank of India’s norms.

Meanwhile, the listing of RBL Bank, will be a good momentum to private sector banks like Yes Bank, Axis Bank, ICICI Bank, IndusInd Bank etc. On the other hand, markets are likely to open in green. On Aug 30, Sensex hit 52 weeks' high, and Nifty was at its 16 month high.