ESAF Small Finance Bank raises Rs 162 crore via preferential allotment

ESAF Small Finance Bank on Monday has raised Rs 162 crore as equity through preferential allotment of shares. As per the release, a total of Rs 2.18 crore shares were allotted preferentially to certain HNI (high networth individual) investors, including some existing investors, leading to a dilution of around 5 per cent at Rs 75 per share. The shares were priced at 2.64 times pre-issue, and 2.45 times post issue, of its book value as of September 30, 2020. Bank’s managing director and CEO K Paul Thomas said that the additional capital raised will strengthen the capital adequacy by about 250 basis points and will support the ambitious growth plan set for FY 22.