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Girish Chadha
New Delhi, Sept 16: TimesBank, which recently made a Rs 35 crore public offer, will be listed on the Delhi Stock Exchange from Friday.
With DSE - the regional stock exchange for TimesBank - granting trading permission, the scrip will soon get listed on the Bombay Stock Exchange, National Stock Exchange and Calcutta Stock Exchange. TimesBank is understood to have already got the in-principle approval for getting its scrip listed on the BSE, NSE and CSE.
With the market remaining largely bullish over the past several weeks, the scrip is likely to enjoy a premium when it gets traded. The scrip is understood to be enjoying a premium of 30-40 per cent in the grey market and should provide a reasonable exit opportunity to investors, said sources in the broking community. The IPO, which opened on June 30, had generated considerable interest in the market at the time of offer as the bank had shelved its earlier plan to charge a premium on the issue and instead decided to offer the shares at par. Of the 3.5 croreshares offered to the public at Rs 10, 12.5 lakh shares were reserved for its employees and working directors. The IPO, which closed on July 10, had been oversubscribed six times and collected about Rs 210 crore from the public. Centurion Bank is also expected to hit the market soon with an issue at par. Other new-generation banks which have come out with public offers over the past two-three years include IDBI Bank, ICICI Bank, UTI Bank, HDFC Bank, IndusInd Bank and Corporation Bank.
However, investors in public sector banks such as State Bank of Bikaner and Jaipur, State Bank of Travancore and Dena Bank have seen a capital erosion, said sources. Post-issue, the bank's total paid-up capital has gone up to Rs 135 crore, with a promoter's contribution of Rs 100 crore. The main promoters are Bennett Coleman & Co., Dharmayug Investments, Sushena Investments, Satyam Properties & Finance Ltd and Vardhman Publishers Ltd.
Post-issue, the promoter's stake in the increased capital base of the company has gotreduced to 66.81 per cent from 90.20 per cent, with the public and employees picking up 25.93 per cent stake. The number of shares held by the promoters as well as others have remained unchanged after the issue.
TimesBank posted a net profit of Rs 27.05 crore on total income of Rs 286.39 crore for year ended March, 1999. For fiscal 1999-2000, the bank has projected over 38 per cent jump in total income to Rs 397.57 crore while net profit is expected to increase by over 76 per cent to Rs 38.82 crore.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.
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