Ujjivan Small Finance Bank‘s shares made a bumper debut in the stock market, listing at Rs 58 on the BSE, a 56.76 per cent premium to its issue price of Rs 37. At 10.01 am, the stock traded at Rs 61.35, up 65.8 per cent from its issue price.
The initial public offering (IPO) with a price band of Rs 36-37 per share was subscribed 166 times. The issue was open for subscription from 2-4 December. The IPO was an effort by the management to meet Reserve Bank of India (RBI) norms that mandate listing of a small finance bank within three years of the launch of operations.
Ujjivan Small Finance Bank Limited (Ujjivan SFB) is one of the leading players in the small finance bank space in India, catering the mass market focused on “financially unserved and underserved segments” and committed to building financial inclusion in the country.
In 2005, UFSL commenced operations as a non-banking finance company, with focus on providing a full range of financial services to the economically weaker who mostly lacked services from financial institutions. Previously, UFSL’s business was primarily based on the joint liability group-lending model for providing collateral-free, small ticket-size loans to economically active poor women and also offered individual loans to MSEs.
