Ujjivan has offered its request for the Equity Shares through the Draft Red Herring Prospectus . It had filed its draft prospectus with SEBI on 31st December 2015 to be listed on BSE and NSE and obtained clearance in Feb 2016. The Company has got an ‘in-principle’ approval from BSE and NSE for the listing of the Equity Shares.
Ujjivan received Rs. 312 crore from domestic investors in a Pre-IPO placement round for the purpose to establish itself to a small finance bank from a micro- lender.
Company profile
Ujjivan Financial Services Limited is based at Bangalore, Karnataka in India. It is incorporated as on December 28,2004. The company operates in financial sectors mainly to the economically active poor to support better lives. Initially ,the company worked as an NBC in 2015 for the purpose to serve poor crowd who are not able to reach or adequately served by financial institutions. It is located across 24 states and Unions territories and 209 districts across India. Ujjivan facilitates over 2.77 million active customers through its 469 branches and 7786 employees and its Gross AUM stands at Rs. 40.88 billion as on September 2015. It started to provide collateral free, small ticket-size loans to economically active women with the help of joint liability group lending model at the beginning phase of its business. It also offer individual loans to Micro & Small Enterprises.
For the purpose to set up a small finance bank( “SFB”), Ujjivan received an in-principle approval from RBI (Reserve Bank Of India). The request was approved out of a total of 72 applicants.
Ujjivan provides a diverse range of loan products facilitating the specific requirements of its customers. Offering products can be classified under two broad categories, namely, Group Loans and Individual Loans. Depending upon the end use, these products can be further sub-divided into agricultural, education, home improvement, and home purchase and livestock loans. All assets of the company under management (“AUM”) come under the priority sector lending norms prescribed by the RBI. relatively, the company is also availing non-credit offerings comprising of life insurance products, in partnership with insurance providers such as Bajaj Allianz Life Insurance Company Limited, Kotak Mahindra Life Insurance Company Limited and HDFC Life Insurance Company Limited.
Ujjivan recorded total revenues in Financial Years 2013, 2014 and 2015 and for the six month period ended September 30, 2015 was `2,339.29 million, `3,576.62 million, `6,118.81 million and `4,622.72 million, respectively.
Ujjivan has partnered with the Parinaam Foundation for the formulation and implementation of financial literacy programs such as ‘Diksha’ and ‘Sankalp’, and continues to support them in their initiatives, which aides in raising the level of financial awareness of its customers.
Ujjivan is the third largest NBFC-MFI in India in terms of loans disbursed as of September 30, 2015, with Gross AUM aggregating over `40.88 billion. The company reached and increased approximately 28%, 38%,and 34% an increasing number of rural , semi urban and urban customers respectively as of September 30, 2015.
The company has also set up the ‘Ujjivan Welfare Relief Trust’ to provide relief to the customers and employees in the event of natural calamities. Along with this, company has also established ESOP schemes to facilitates to all employees with an opportunity to hold an ownership interest in the business on the basis of their performance which is started in 2006.
Outlook of the company
- Robust risk management framework
- Focus on Employee Welfare
- Robust technology driven operating model
- Leveraging our capabilities as an MFI to successfully transition into the proposed SFB business
- Increased focus on the unserved and underserved segment
- Diversification of product offerings
- Increased automation and digitization of products and services
- Building a strong liability franchise
IPO details:-
Ujjivan has offered its request for the Equity Shares through the Draft Red Herring Prospectus . It had filed its draft prospectus with SEBI on 31st December 2015 to be listed on BSE and NSE. The Company has got an ‘in-principle’ approval from BSE and NSE for the listing of the Equity Shares pursuant to letters dated [●] and [●], respectively.
As per current filing, Ujjivan Financial Services IPO to include sale of new shares worth up to 3.58 billion rupees .
Ujjivan received Rs. 312 crore from domestic investors in a Pre-IPO placement round for the purpose to establish itself to a small finance bank from a micro- lender.
Purpose for the Issue:-
1) Interim use of Proceeds
2) Bridge Financing facilities
3) To enhance the company’s brand and creation of a public market for its Equity shares.
4) Monitoring Utilization of fund.
See Ujjivan Financial Services IPO Prospectus filed with SEBI
Summary Of Issue:
| Issue Open:- | April 28, 2016 – May 2, 2016 |
| Price Band | Rs.207 -Rs.210 |
| Issue Size (Shares) | |
| Issue Size in (Value) | Rs. 875cr -882.5cr |
| Face Value | Rs. 10 Per Equity Share |
| Issue Price | Rs.207 -Rs.210 |
| Market lots | 70 |
| Minimum Order Quantity | 70 |
| Listing At | NSE, BSE |
The public offer includes:- The company proceed approx. Rs. 6500 million fresh issue in the market.
Promoters Of the Company:-
The Company does not have an identifiable promoter either in terms of the SEBI ICDR Regulations or the Companies Act, 2013. Therefore, it has no ‘promoter group’ in terms of the SEBI ICDR Regulations.
Financials:-
| Particulars | For the year/Period ended (Rs. in Million) | ||||
| Financial Year | 31-Sep-15 | 31-Mar-14 | 31-Mar-13 | 31-Mar-12 | 31-Mar-11 |
| Total Equity & Liabilities | 43163.16 | 39762.59 | 20787.01 | 13568.64 | 8951.22 |
| Total Assets | 43163.16 | 39762.59 | 20787.01 | 13568.64 | 8951.22 |
| Total Revenue | 4622.72 | 6118.81 | 3576.62 | 2339.29 | 1563.03 |
| Total Expenses | 3493.95 | 4973.68 | 2688.20 | 1862.29 | 1564.52 |
| Profit After Tax (PAT) | 737.31 | 757.88 | 584.16 | 328.70 | 1.33 |
Lead Manager Details:-
1) Kotak Mahindra Capital Company
Limited
1st Floor, 27 BKC, Plot No. 27
“G” Block, Bandra Kurla Complex
Bandra (East), Mumbai 400 051
Maharashtra, India
Tel: +91 22 4336 0000
Fax: +91 22 6713 2447
E-mail: ujjivan.ipo@kotak.com
Investor grievance E-mail: kmccredressal@kotak.com
Website: www.investmentbank.kotak.com
Contact Person: Ganesh Rane
SEBI Registration No.: INM000008704
2) Axis Capital Limited
1st Floor, Axis House
C-2, Wadia International Centre
P.B. Marg, Worli, Mumbai 400 025
Maharashtra, India
Tel: + 91 22 4325 2183
Fax : +91 22 4325 3000
E-mail: ujjivan.ipo@axiscap.in
Investor grievance E-mail: complaints@axiscap.in
Website: www.axiscapital.co.in
Contact person: Lohit Sharma
SEBI Registration No.: INM000012029
3) ICICI Securities Limited
ICICI Centre
H.T. Parekh Marg
Churchgate, Mumbai 400 020
Maharashtra, India
Tel : +91 22 2288 2460
Fax : +91 22 2282 6580
E-mail: ujjivan.ipo@icicisecurities.com
Investor grievance E-mail: customercare@icicisecurities.com
Website: www.icicisecurities.com
Contact Person: Ayush Jain
SEBI Registration No.: INM000011179
4) IIFL Holdings Limited
10th Floor, IIFL Centre
Kamala City, Senapati Bapat Marg
Lower Parel (West), Mumbai 400 013
Maharashtra, India
Tel: +91 22 4646 4600
Fax: +91 22 2493 1073
E-mail: ujjivan.ipo@iiflcap.com
Investor grievance E-mail: ig.ib@iiflcap.com
Website: www.iiflcap.com
Contact Person: Vishal Bangard/Gaurav Singhvi
SEBI Registration No.: INM00001094
Registrar to the Issue :-
Karvy Computershare Private Limited
Karvy Selenium Tower B
Plot 31-32, Gachibowli
Financial District, Nanakramguda
Hyderabad 500 032
Telengana, India
Tel: +91 40 6716 2222
Fax: +91 40 2343 1551
Toll Free No.: 1800 3454 001
E-mail: einward.ris@karvy.com
Investor grievance E-mail: ujjivan.ipo@karvy.com
Website: www.karisma.karvy.com
Contact Person: M Murali Krishna
SEBI Registration No.: INR000000221
Registered Office:-
Grape Garden, No. 27, 3rd A Cross, 18th Main, 6th Block,
Koramangala, Bengaluru 560 095,
Karnataka, India
Contact Person: Sanjeev Barnwal, Company Secretary and Compliance
Officer; Tel: +91 80 4071 2121;
Fax: +91 80 4146 8700
E-mail: compliance@ujjivan.com;
Website: www.ujjivan.com
Corporate Identity Number: U65999KA2004PLC035329
