Check the final subscription status on the third day

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Tamilnad Commercial Bank IPO- Check Final IPO Status on Day 3

Tamilnad Commercial Bank has been oversubscribed 2.86 times

New Delhi-

Tamilnad Mercantile Bank’s Initial Public Offering (IPO) was oversubscribed 2.86 times at the end of the three-day window that started on Monday. The data showed that the portion allocated to individual investors was oversubscribed 6.48 times.

On the first day, the shares got about 83 percent of the IPO. However, it has exceeded the underwriting of shares allocated to retail investors.

On the second day – Tuesday, the issues presented were fully subscribed.

The company had set a price range of Rs 500-525 per share for the IPO. At the upper end of the price range, the company will raise around Rs 831.60 crore from the issue.

The IPO of Tamilnad Mercantile Bank is an entirely new issue.

The private lender based on Thoothukudi (formerly Tuticorin) plans to utilize the funds raised through the IPO to increase the Tier 1 capital base to meet the capital requirements.

Being one of the oldest private sector banks in India, it provides a range of banking and financial services primarily to small and medium enterprises, agricultural clients and retail clients.

The total number of Tamilnad Commercial Bank branches was 509 as of March 31, 2022. Of these, 106 were in rural areas, 247 were in semi-urban areas, 80 were in urban areas and 76 were in urban centres.

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The allocation of shares to the intangible accounts of successful investors is expected on September 14, and the official listing on the stock exchanges the next day.

For fiscal year 2021-22, Tamilnad Mercantile Bank reported a net profit of Rs.821.91 crore as compared to Rs.603.33 crore recorded in the previous year, registering a YoY growth of 36%.

The bank’s net interest income jumped 18% YoY to Rs 1,815.23 crore for the financial year ending March 2022.

“The bank with its strong presence in Tamil Nadu and focus on increasing its presence in other strategic regions is constantly working to grow its deposit base with a focus on low cost retail CASA. Also, with strong asset quality, underwriting practices, risk management policies and procedures and consistent financial performance, we recommend” jointly “on this issue for the long haul,” Hem Securities said.

Tamil Nadu Mercantile Bank was established as Nadar Bank in 1921 and its name was changed to Tamilnad Mercantile Bank in the year 1962.