AU Small Finance Bank raises Rs 563 crore from anchor investor

Jaipur-based NBFC turned small finance bank, AU small finance on Tuesday raised Rs 563 crore from anchor investors. The issue will be open for subscription on Tuesday. The issue size is Rs 1,912 crore at a price band of Rs 355-358 per share.

The company allotted 1.57 crore shares to 34 anchor investors as per the information filed on the exchanges. The shares were issued at an upper price band.

The list of anchor investors foreign portfolio investors such as Government of Singapore, Kuwait Investment Authority, BlackRock, Nomura Singapore, HSBC Global Investment Funds – Indian Equity and Wells Fargo Emerging Markets Equity Fund.

The issue has received excellent response from FIIs and the company is already on the caution list of RBI as the foreign shareholding of the company is close to 49 percent, which is also the permissible limit for the Foreign investors in Indian banks.

If the company wants to issue beyond 49 percent of its shares to foreign investors, RBI’s approval is required.

The managers of the issue are ICICI Securities, HDFC Bank (Investment Banking Group), Motilal Oswal Investment Advisors and Citigroup Global Markets India.