BAJAJ BROKING
IDFC First Bank plans to raise ₹3,200 crore through a preferential issue to key institutional investors, strengthening its capital adequacy to 17.49%. With a robust deposit franchise and diverse loan portfolio, the bank aims for sustainable growth while maintaining asset quality.
IDFC First Bank's Board has approved raising approximately ₹3,200 crore through a preferential issue to seize upcoming growth prospects. Around 39.68 crore shares will be allocated to prominent institutional investors in India, such as LIC, HDFC Life, ABSL Insurance, Bajaj Allianz Life, ICICI Lombard, and SBI General Insurance.
The issuance is set at ₹80.63 per share, marking a premium of 4.51%. Post-capital raise, the bank's capital adequacy is projected to rise to 17.49%.
The bank showcases robust financial metrics, including a 5-year CAGR of 37% in customer deposits and a growth rate that accelerated to 42% in FY24 over FY23. Similarly, the lender's overall loan book (including credit substitutes) grew by 25% year-on-year in FY24.
Maintaining healthy asset quality, the bank reports gross NPA and Net NPA at 1.88% and 0.60%, respectively, as of March 2024.
Additional Read: IDFC First Bank-Q4-Results
IDFC First Bank boasts a diversified product portfolio, spanning credit cards, gold loans, car financing, and more, catering to consumer, rural, MSME, and corporate segments. The bank emphasises its unique ability to sustainably grow its loan book while upholding high asset quality standards, positioning itself for continued success in the competitive banking landscape.
Disclaimer: Investments in the securities market are subject to market risk, read all related documents carefully before investing.
This content is for educational purposes only. Securities quoted are exemplary and not recommendatory.
For All Disclaimers Click Here: https://bit.ly/3Tcsfuc
Share this article:
Nifty Healthcare Index
14 Dec, 2024 | 1 Min. read
Standard Deviation: Meaning, How To Use and Calculate
14 Dec, 2024 | 5 Min. read
Business Forecasting: Definition, Methods, and Models
14 Dec, 2024 | 8 Min. read
Modern Portfolio Theory (MPT): Definition, Types & How To Use
14 Dec, 2024 | 8 Min. read
ASM & GSM Meaning - List of ASM & GSM Stocks
14 Dec, 2024 | 7 Min. read
Bollinger Bands: Meaning, How To Interpret and Use
14 Dec, 2024 | 7 Min. read
Hedging: Meaning, Types, Risks and Strategie
14 Dec, 2024 | 6 Min. read
Moving Averages Indicator: Variations & Examples
13 Dec, 2024 | 8 Min. read
Learn Everything About Breakout Trading
13 Dec, 2024 | 8 Min. read
Gold Price in India | Gold Drops 1% After Reaching Five-Week High
13 Dec, 2024 | 39 Min. read
Statement of Account and Demat Account: Meaning & Differences
13 Dec, 2024 | 4 Min. read
What are the Timing For Commodity Market Trading?
13 Dec, 2024 | 6 Min. read
RBI Launches ULI: Transforming Loan Access
August 27, 2024 | 4 Min. read
Textile Sector in India
September 20, 2024 | 5 Min. read
List of IPOs with DRHPs Filed
November 30, 2023 | 3 Min. read
Aditya Birla Group
September 28, 2023 | 10 Min. read
Bajaj Housing Finance Ltd IPO: Things Smart Investors Need to Know
September 05, 2024 | 4 Min. read
Budget Stock Ideas 2024-2025 | Stocks to Buy Today
July 24, 2024 | 4 Min. read
IPO Eligibility Criteria : Full Details
March 15, 2024 | 6 Min. read
What Is the Lock-In Period in IPOs?
October 18, 2023 | 6 Min. read
Godfrey Phillips Announces 2:1 Bonus Shares
September 16, 2024 | 7 Min. read
Jindal Group- A Comprehensive Analysis
September 27, 2024 | 7 Min. read
Level up your stock market experience: Download the Bajaj Broking App for effortless investing and trading