Mumbai (Maharashtra) [India], August 30: The initial public offering (IPO) of Tamilnad Mercantile Bank will open for subscription on September 5 and close on September 7, as per the draft paper submitted by the company with the market regulator SEBI.

The company has set a price band of Rs 500 - 525 per share for the IPO. On the upper end of the price band, the company will raise around Rs 831.60 crore from the IPO.

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Tamilnad Mercantile Bank's IPO is entirely a fresh issue of up to 1,58,40,000 equity shares with a face value of Rs 10 each.

The Thoothukudi (formerly Tuticorin)-based private lender plans to utilise the money raised through the IPO to augment its tier-I capital base to meet its capital requirements. Upcoming IPOs: From Ola to Delhivery, Here Are Top 3 IPOs to Look Out For in Near Future

The anchor book bidding will start on September 2. Shares will be allotted to dematerialised accounts of successful investors on September 14.

The bank is scheduled to be listed on the stock exchanges on September 15.

Tamilnad Mercantile Bank is a professionally managed bank and does not have any identifiable promoters.

It is one of the oldest private sector banks in India. Tamilnad Mercantile Bank offers a range of banking and financial services primarily to micro, small and medium enterprises, agricultural and retail customers.

For the financial 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 year-on-year growth of 36 per cent.

The bank's net interest income jumped 18 per cent year-on-year to Rs 1815.23 crore for the financial year ended 31st March 2022.

Tamilnad Mercantile Bank's total number of branches stood at 509 as of March 31, 2022. Out of these 106 branches were in rural, 247 in semi-urban, 80 in urban and 76 in metropolitan centres. (ANI)

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