IPO Details
Bidding Dates
07 Feb 24 - 09 Feb 24
Price Range ₹
393 - 414
Total Equity
₹ 0.00Cr
Lot Size
36
Exchange Status
NSE,BSE
IPO Doc
Subscription Rate
Non-Institutional Investor
5.46×
Qualified Institutional Buyers
38.75×
Employees
1.95×
Retail Investors
5.46×
Total subscription Rate
18.50×
IPO Timeline
Offer start
07 Feb 2024
Offer end
09 Feb 2024
Allotment
12 Feb 2024
Refund initiation
13 Feb 2024
Demat transfer
13 Feb 2024
Listing
14 Feb 2024
Offer start
07 Feb 2024
Offer end
09 Feb 2024
Allotment
12 Feb 2024
Refund initiation
13 Feb 2024
Demat transfer
13 Feb 2024
Listing
14 Feb 2024
About Company
Jana Small Finance Bank (JSFB) ranks fourth among Small Finance Banks in terms of Assets Under Management (AUM) and deposit size as of September 30, 2023, according to the Fitch Report. By that date, it had a network of 771 banking outlets, out of which 278 were located in unbanked rural centers across 22 states and two union territories. Since its establishment in 2008, the bank has catered to approximately 12 million customers, with 4.87 million of them being active customers as of September 30, 2023.
Year Founded
24-07-2006
Promotor Details
R Ramaseshan
Promoter Holdings Details
| Particular | Pre-IPO | Post-IPO |
|---|---|---|
| Percentage | 24.37 | 0 |
| Share Capital | 23575790 | 0 |
Highlights
- With offerings including MSME loans, affordable housing loans, term loans, two-wheeler loans, and gold loans, Jana SFB has a diversified loan portfolio, reducing its risk exposure to any single sector or asset class.
- Jana SFB's focus on unsecured loan products, such as individual and micro business loans, agricultural loans, and group loans, allows it to cater to a wide range of customers, including those without collateral, potentially expanding its customer base and revenue streams.
- The provision of digital products and services, including mobile and internet banking, enhances convenience and accessibility for both retail and corporate clients, improving overall customer experience and satisfaction.
- The bank's significant increase in gross secured advances, with a compound annual growth rate (CAGR) of 39.69% between March 31, 2021, and March 31, 2023, indicates robust lending activity and potential for future profitability.
- With a large network of banking outlets and a growing customer base, Jana SFB may face operational risks related to scalability, technology infrastructure, and human resources management, which could affect its efficiency and service quality.
Challenges
- While unsecured loans offer opportunities for customer acquisition, they also pose higher risks of default compared to secured loans, potentially leading to higher credit losses and impacting the bank's financial stability.
- As a non-banking finance company (NBFC) transitioning into a small finance bank, Jana SFB may face regulatory challenges and compliance requirements, which could increase operational complexity and costs
- The bank operates in a highly competitive banking sector, facing competition from established banks and other small finance banks, which could impact its market share and profitability.
- Despite significant customer growth in recent years, acquiring new customers may incur substantial costs in terms of marketing, promotions, and distribution channels, potentially impacting the bank's profitability.
- With 754 banking outlets across 22 states and two union territories, including a substantial presence in unbanked rural centers, Jana SFB has a broad nationwide presence, enabling it to reach underserved communities and reduce concentration risk. Disadvantages of Jana Small Finance Ban
Financials
| Years | Total Assets | Share Capital | Profit After Tax | Consolidated Net Profit | Adjusted EPS |
|---|---|---|---|---|---|
| 2021 | 1,90,786.61 | 2,007.27 | 170.10 | 170.10 | 61.9446 |
| 2022 | 2,01,887.08 | 2,014.12 | -1,949.06 | -1,949.06 | -413.2867 |
| 2023 | 2,56,436.90 | 3,249.79 | 170.10 | 170.10 | 61.9446 |
| 2019 | 9,446.30 | 197.16 | -1,949.06 | -1,949.06 | -413.2867 |
| 2020 | 14,144.51 | 200.72 | -2,503.79 | -2,503.79 | -637.2588 |
