Micro lender Spandana Sphoorty had a tepid start on exchanges with listing at Rs 825per share as against the issue price of Rs 856. Spandana Sphoorty’s IPO was fully subscribed and the company received bids 1.05 times of the total issue size earlier this month.
Micro lender Spandana Sphoorty had a tepid start on exchanges with listing at Rs 825per share as against the issue price of Rs 856. Today, on BSE, the shares of Spandana Sphoorty ended in green at Rs 848.40 per share, up 3 per cent from the previous close. The shares touched a day’s high of Rs 865 per share and a low of Rs 690 per share. On the NSE, shares slumped by 0.14 per cent to end at Rs 854.75 per share.
Spandana Sphoorty’s IPO was fully subscribed and the company received bids 1.05 times of the total issue size earlier this month. The price range for the IPO which began on Aug 5 and ended on Aug 7, was set at Rs 853-856 per share. The issue comprised an OFS of up to 93 lakh shares, including dilution by early-stage investors and by Padmaja Ganjireddy, from the promoter group totalling to Rs 800 crore. The company had raised Rs 400 crore from the fresh issue of shares.
In terms of volume traded on the exchanges, while 4.72 lakh shares were traded on the BSE and over 46 lakh shares traded on the NSE during the day. Spandana Sphoorty’s market valuation was Rs 5,444.78 crore on the BSE. The company offers income generation loans under the joint liability group model, predominantly to women from low-income households in rural areas. Spandana Sphoorty Financial Ltd (SSFL) is an NBFC-MFI with AUM of Rs 44bn headquartered in Hyderabad. Promoted by Padmaja Gangireddy (MD) and Kangchenjunga (Kedaara Capital), the microlender specializes in MSE financing for low-income women borrowers. With the systematic expansion of geographic footprint to tap the underserved high potential rural segment, SSFL’S business model follows the client-centric approach.