Check subscription status after day 1

Tamilnad Mercantile Bank IPO: Check Subscription Status After Day 1

New Delhi:

Tamilnad Mercantile Bank’s initial public offerings (IPO) received 83% subscription on the first day of the three-day window on Monday.

Shares reserved for retail investors, however, were oversubscribed – at around 1.5 times, according to the data.

The company had set a price range of Rs 500-525 per share for the IPO. At the upper end of the price range, the company will raise around Rs 831.60 crore from the issuance. Tamilnad Mercantile Bank IPO is entirely new.

The Thoothukudi-based private lender (formerly Tuticorin) plans to use the money raised from the IPO to increase its Tier I capital base to meet its capital needs.

Being one of the oldest private sector banks in India, it offers a range of banking and financial services mainly to micro, small and medium enterprises, agricultural clients and individuals.

The total number of branches of Tamilnad Mercantile Bank stood at 509 as of March 31, 2022. Out of these 106 branches were in rural areas, 247 in semi-urban areas, 80 in urban areas and 76 in metropolitan centers .

Shares are expected to be allocated to investors’ dematerialized accounts that pass on September 14 and the official listing on the stock exchange the following day.

For the financial year 2021-22, Tamilnad Mercantile Bank reported a net profit of Rs 821.91 crore compared to Rs 603.33 crore recorded the previous year, registering a growth of 36% year on year.

The bank’s net interest income jumped 18% year-on-year to Rs 1,815.23 crore for the fiscal year ending March 2022.

“The bank, with its strong presence in Tamil Nadu and its drive to expand its presence in other strategic regions, is steadily growing its deposit base with a focus on low-cost retail CASAs. its strong asset quality, underwriting practices and consistent risk management and financial performance policies and procedures, we recommend ‘subscribing’ to the long-term issue,” brokerage firm Hem Securities said in a statement. a report.

Tamil Nadu Mercantile Bank was incorporated as Nadar Bank in 1921 and its name was changed to Tamilnad Mercantile Bank in 1962, according to the brokerage.

(Except for the title, this story has not been edited by NDTV staff and is published from a syndicated feed.)

About Janet Young

Check Also

Top 10 stocks of the day

Singapore Stock Exchange Nifty futures traded 143 points, or 0.81%, down to 17,573, indicating equity …