Fino Payments Bank, Popular Vehicles get SEBI Nod for IPOs

Capital market governing body, SEBI, has given a ‘go-ahead’ to Fino Payments Bank and Popular Vehicles and Services Limited to initiate their IPO proceedings. Both the companies have recently received the approval, i.e. observation letter, to go public.

Observation letters are compulsory for initial share sales, and as per SEBI’s parlance, this letter signifies a green light from the capital market watchdog to launch an IPO. Fino Payments Bank received its observation letter on 1 October 2021. At the same time, Popular Vehicles and Services Limited received its letter of observation on 29 September 2021.

Therefore, both these organisations can now begin their IPO preparations and go public as per their decided timeline.

Fino Payments Bank IPO at a Glance

The initial public offering of Fino Payments Bank is likely to be worth Rs. 1300 crores. This will include Rs. 300 crores worth freshly issued equity shares, and an OFS of 15,602,999 equity shares by the company promoter, Fino Paytech. Additionally, this offer will also include 3 crores shares reserved for its employees.

The financial institution is also in discussion with its merchant banks to initiate a pre-IPO placement of Rs. 60 crores. Once and if this move materialises, the company will adjust its issue of fresh equity shares accordingly.

Furthermore, the company plans to utilise these funds to improve its tier-1 capital to meet future requirements.

Fino Payments Bank has appointed the following banks as its lead managers –

1. ICICI Securities Limited
2. Nomura Financial Advisory and Securities (India) Limited
3. Axis Capital Limited
4. CLSA India Private Limited

It has also employed KFin Technologies Private Limited as the registrar of this public issue.

Popular Vehicles and Services Limited IPO at a Glance

The Kerala-based diversified automobile dealership is gearing up to go public with an IPO comprising OFS and fresh issues. Here the offer for sale will include 4,266,666 shares from Banyantree Growth Capital II LLC and fresh issue equity shares of Rs. 150 crores.

The proceeds from fresh issue equity share will meet the company’s general corporate purposes and help them to reduce their existing burden.

Moving ahead, Popular Vehicles has appointed Centrum Capital Limited, DAM Capital Advisors Limited, and Axis Capital Limited as its lead managers. Link Intime India Private Limited is the registrar of this public issue.

Bottom Line

With the observation letter in hand, these companies can now be their final draft of their public issue. They can sort out minute details and decide on the timeline to ahead with it. In case you are planning to make an investment in these IPOs, stay subscribed to the Angel One Blogs for further updates.

Frequently Asked Questions

1. What is the face value of Popular Vehicles and Services Limited IPO shares?

The face value of shares of Popular Vehicles and Services Limited IPO is Rs. 10 per share.

2. What is the face value of Fino Payments Banks IPO shares?

The face value of Fino Payments Banks IPO shares is Rs. 10 per share.

3. Which stock exchanges will list the shares of Fino Payments Banks and Popular Vehicles and Services Limited?

BSE and NSE are the stock exchanges that will list the shares of Fino Payments Banks and Popular Vehicles and Services Limited.