The issue consists of issuance of fresh equity shares worth Rs 300 crore, with a face value of Rs 10 each, and an offer-for-sale (OFS) of up to 1,56,02,999 equity shares by the promoter of the company.
At the higher end of the price band, the OFS by promoter aggregates to more than Rs 900.3 crore and the company is eyeing to raise Rs 1,200.3 crore from the primary offering.
Fino Paytech is the only promoter of the lender. The offer includes a reservation of Rs 3 crore worth of shares for the company’s eligible employees.
Investors can bid for a minimum of 25 equity shares and in multiples of 25 equity shares thereafter. The issue will close for subscription on November 2, Tuesday.
Up to 75 per cent of the total offer is reserved for qualified institutional buyers, and 15 percent for non-institutional investors. The remaining 10 per cent stake is allocated to retail investors.
Fino Payments Bank plans to utilise the net proceeds from its fresh issue for augmenting its Tier–I capital base to meet future capital requirements.
Fino Payments Bank offers a diverse range of financial products and services that are primarily digital and have a payments focus. Since 2017, it has grown operational presence to cover over 90 percent of districts as of September 2021.
The company operates an asset-light business model that principally relies on fee and commission-based income generated from merchant networks and strategic commercial relationships. It has appointed Axis Capital, CLSA India, ICICI Securities, and Nomura Financial Advisory and Securities (India) to manage the issue. KFin Technologies has been appointed as the registrar of the issue.
