Ujjivan Small Finance Bank Ltd. share price target

Ujjivan Small Finance Bank Ltd (USFB), promoted by Ujjivan Financial Services Ltd (UFSL), is a mass market focused small finance bank (SFB), catering to the unserved & underserved segment. USFB is doing an IPO to meet the RBI regulation which requires the SFB to list within a period of 3 years. Currently, the holding promoter company UFSL is listed which will have 83.3% stake in USFB post IPO. As per RBI guidelines, the promoter is required to reduce its shareholding in SFB to 40% within a period of 5 years from the date of commencement (1st Feb, 2017 for USFB) of business operations. This could act as an overhang on the stock. However, once the IPO process is completed, USFB will consult the RBI on the reverse merger...

As of Sept 30, 2019, they had a network of 441 ATMs (including nine ACRs), two 24/7 phone banking units based in Bengaluru and Pune that service customers in 11 languages, and a mobile banking application that is accessible in five languages as well as internet banking facility for individual and corporate customers. Their Gross Advances (including securitization/ IBPC) have grown from 6383.9 Cr as of FY17 to 12863.6 Cr as of H1FY20. Their deposits have increased from 2, 06.4 Cr as of FY17 to 10129.8 Cr as of H1FY20. PAT was at 6.8 in FY18 to 187.1 Cr in H1FY20.Their long term bank facilities have been rated CARE A+;...

Pan-India presence: As of September 30, 2019 the company was present in 24 states and union territories encompassing 232 districts in India. As of September 30, 2019, it operated from 552 Banking Outlets that included 141 Banking Outlets in URCs (of which seven were business correspondent centres) and additionally operated four Asset Centres. Its...

Ujjivan Small Finance Bank | Industry: BFSI Ujjivan is a play on the MFI growth story. So far, it has effectively managed to grow assets with decent asset quality profile. However, going forward trajectory of business model will change with buildup of non-MFI loans and ramp of retail liabilities which shall be an uphill task for the new management in the wake of tough competition in the market space. Also, the bank will have to...

IPO NOTE

Ujjivan Small finance Bank (USFB) is a mass market focused SFB in India, catering to unserved...

Ujjivan Small Finance Bank Limited IPO Note Issue Open: December 02 December 04, 2019, Price Band: Rs. 36 37 (Discount of Rs 2 per share for eligible UFSL shareholders bidding in shareholders reservation portion), Issue Size: 202,702,703 eq shares * (Inculding UFSL shareholder reservation)

As of September 30, 2019, SFBs' operations are spread across 24 state and union territories with 552 banking outlets and 441 ATMs. Ujjivan SFB has a diversified portfolio with advances at | 12864 crore, deposit of | 10130 crore. The bank is serving a huge client base of 49.4 lakh. Asset quality remained steady with GNPA ratio at 0.85% & NNPA ratio at 0.33%. In terms of performance, PAT was at | 199 crore in FY19 and | 187 crore in H1FY20. Aggressive growth with shift towards non-MFI segment Ujjivan SFB, led by the promoter business, started with a substantial...

Ujjivan Small Finance Bank (SFB) a subsidiary of Ujjivan Financial Services is the 3rd largest SFB in AUM terms commencing operations in Feb'17. Bank has been able to ramp up reasonably well on both liabilities as well as assets and is coming back on track post facing issues in micro finance...

Ujjivan Small Finance Bank (SFB) a subsidiary of Ujjivan Financial Services is the 3rd largest SFB in AUM terms commencing operations in Feb'17. Bank has been able to ramp up reasonably well on both liabilities as well as assets and is coming back on track post facing issues in micro finance...