Jana Small Finance Bank Raises ₹560 Crore Investment from Prominent Investors
Jana Small Finance Bank, a leading financial institution, recently announced that it has successfully raised ₹560 crore in pre-IPO financing. The funding round attracted a diverse group of investors, including high net-worth individuals (HNIs) and reputable funds, according to a report.
Prominent investors who participated in this funding round include Akash Bhanshali from Enam Holdings, Ashish Kacholia, renowned entrepreneur Radhakishan Damani, and Amansa Holdings led by Akash Prakash, as reported by the Economic Times.
With the infusion of fresh capital, Jana Small Finance Bank, headquartered in Bengaluru, will significantly bolster its capital adequacy ratio, surpassing the regulatory requirement of 15% and reaching over 19% by the end of March, as per the same report.
During an interview with a leading newspaper, Jana Small Finance Bank’s CEO, Ajay Kanwal, revealed plans to file a draft prospectus for a public issue as early as next month. The bank aims to raise a minimum of ₹1,500 crore through its initial public offering (IPO), primarily by selling shares.
Kanwal further explained that a substantial portion of the funds raised from the IPO, over ₹500 crore, will be allocated to the issuance of new shares. This infusion will directly enhance the bank’s capital adequacy, driving it beyond 23%.
Among the notable shareholders of Jana Small Finance Bank are TPG Capital, Morgan Stanley Private Equity, and Havells Group. These esteemed private equity firms collectively hold more than a 9% stake in the bank.
Once listed, Jana Small Finance Bank will become the fifth small finance bank to be traded on the stock exchanges, further solidifying its position in the financial sector.
About Jana Small Finance Bank:
Jana Small Finance Bank, headquartered in Bangalore, India, is a small finance bank that started its operations on March 28, 2018. The bank obtained a license from the Reserve Bank of India in accordance with Section 22 of the Banking Regulation Act, 1949.
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