CSB IPO: Kerala-based bank mops up Rs 184 cr from anchor investors; maiden public offer opens today

New Delhi: Kerala-based lender CSB Bank on Thursday raised Rs 184 crore from anchor investors, ahead of its initial share sale commencing on Friday. CSB Bank, which aims to raise up to Rs 410 crore, has fixed a price of Rs 193-195 per share for the initial public offer. According to a regulatory filing, CSB Bank has finalised the allocation of 94,54,080 shares at Rs 195 apiece to 24 anchor investors, including five mutual funds. Based on the price, the total proceeds would be little over Rs 184 crore. [caption id=“attachment_4409003” align=“alignleft” width=“380”] Representational image. Reuters.[/caption] Omers Administration Corporation OAC Custody Account (SCV6), ICICI Prudential MF, SBI MF, Aditya Birla Sun Life Trustee, Axis MF, Sundaram MF, HSBC and Ashoka India Opportunities Fund are among the anchor investors. The shares are being sold to anchor investors at the upper end of the IPO price band of Rs 195 apiece. CSB Bank’s offer involves a fresh issue of shares to raise up to Rs 24 crore and an Offer For Sale of 1.97 crore scrips by existing investors. The latter would be worth around Rs 385 crore. The share sale would be open from 22 to 26 November. On November 19, the bank’s Managing Director and Chief Executive C V R Rajendran said its promoter entity Fairfax India Holdings Corporation’s stake would go down to 49.73 percent from 50.09 percent. The promoter entity, which acquired 51 percent in the bank in February, has five years to reduce holding to 40 percent and 15 years to go down to 15 percent in compliance with the RBI requirements. As part of the same requirements, it had to list by September 2019 and some procedural aspects resulted in a marginal delay, he had said.