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Bandhan Bank among top 50 most valuable publicly traded firms in India

Livemint:  April 12, 2018

Mumbai: Kolkata-based Bandhan Bank Ltd became one of the top 50 most valuable publicly traded firms in India. On Thursday, the market capitalization of Bandhan Bank was at Rs64,000 crore, claiming 50th rank, according to BSE data.

Tata Consultancy Services Ltd is the most valuable company in India, followed by Reliance Industries Ltd and HDFC Bank Ltd.

Bandhan Bank had raised Rs4,500 crore through a successful initial public offering (IPO) in March after setting the pricing at Rs375 per share. That was at the upper end of a price range of Rs370 to Rs375 per share. The IPO had attracted orders worth 14.63 times the number of available shares. Shares of Bandhan Bank were listed on 27 March.

In intraday, shares of the lender hit a new high of Rs540, up 1.5% from its previous close. It closed at Rs534.75 on BSE, up 0.43% from previous close.

Since 27 March, it gained 42.81%, outstripping CNX Bank Nifty which rose 3.8% in that period.

It’s one of the two entities to receive a universal banking licence in 2015 and the only microfinance institution to do so. It focuses on retail, medium and small enterprise loans, and has focused on underbanked areas. As of 31 December, Bandhan’s deposits and gross advances stood at Rs25,294 crore and Rs24,364 crore, respectively. For the nine months ended 31 December 2017 and 2016, it had net interest margin of 9.86% and 10.34%, return on equity (RoE) of 25.55% and 27.88%, and return on assets of 4.07% and 4.39%, respectively, each on an annualized basis.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.