Home Finance ESAF Bank Upcoming IPO: Estimated 15% Return in 13 Days, Stock Market Forecast

ESAF Bank Upcoming IPO: Estimated 15% Return in 13 Days, Stock Market Forecast

by khushahal vishwakarma
ESAF Bank Upcoming IPO

ESAF Bank Upcoming IPO: In Indian banks, fixed deposits offer a maximum interest rate of 9.50% annually. Mutual funds provide returns from 12% to 32% within a year. However, by subscribing to ESAF Bank’s IPO, there’s an estimated potential for a 15% return in just 13 days. The minimum investment limit is ₹15,000 and the maximum is ₹195,000.

ESAF Bank Upcoming IPO Timeline: Dates, Price, and Investment

  • IPO Opening Date: November 3
  • IPO Closing Date: November 7
  • Allotment and Refunds: November 10–13
  • Share Credited to Demat Account: November 15
  • Listing on BSE and NSE: November 16
  • Price Band: ₹57 to ₹60 per share
  • Lot Size: 250 Shares

ESAF Small Finance Bank IPO GMP Trend In the grey market, there’s a growing demand for ESAF Small Finance Bank’s shares, with a GMP (grey market premium) of ₹9. The company intends to sell shares with a face value of ₹10 at ₹60, yet investors in the grey market are willing to buy at ₹69. The bank’s GMP trend is notably positive. Analysts have estimated the listing price to be ₹69, indicating a potential 15% return within two days.

ESAF Small Finance Bank Limited: Business Overview In India, businesses can fluctuate, but banks seldom experience losses. They take money from the public at minimum interest rates on fixed deposits and then lend it to those in need or businesses at higher interest rates, thus generating profits. ESAF Small Finance Bank, established in 1992, has been profitable.

Financial Highlights as of March 31, 2021–March 31, 2023:

  • Total assets increased from ₹12,338 crore to ₹20,224 crore.
  • Revenue increased from ₹1,768 crore to ₹3,141 crore.
  • Net worth increased from ₹1,352 crore to ₹1,709 crore.
  • Reserves and surplus increased from ₹902 crore to ₹1,259 crore.
  • Borrowings increased from ₹1,694 crore to ₹3,354 crore.
  • After all expenses and taxes, net profit increased from ₹105 crore to ₹302 crore.

ESAF Small Finance Bank Limited IPO Review The bank has shown robust performance, with a significant increase in net profits. While having a loan of ₹3,354 crore, the bank also possesses assets worth ₹20,000 crore. Established in 1992, the bank has shown impressive performance over the last year. Besides subscribing to the IPO for listing in the stock market, one might consider short- or long-term investments. It’s advisable to seek advice from a financial advisor regarding this.

Disclaimer: Before making investment decisions, it’s essential to consult with your financial advisor. Please remember that when you invest in the stock market, all associated risks are solely your responsibility.

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