During the fiscal year ended March 31, 2022, Five Star Business Finance submitted its Draft Red Herring Prospectus (DRHP) to the Securities and Exchange Board of India (SEBI) and received approval for an Initial Public Offering (IPO) of its shares. However, the last quarter, when Five Star Business Finance was about to complete the listing of its shares, saw significant headwinds in the capital market; despite its strong performance, which was also appreciated by investors during the roadshow meetings, the capital market headwinds contributed to overall sentiment turning negative, forcing the company to postpone the listing plans.
1. Five Star Business Finance has increased its loan disbursement to INR 1,756.24 crores for the fiscal year ending March 31, 2022, from INR 1,245.05 crores the previous fiscal year.
2. Five Star Business Finance branch network increased to 300 from 262 during the fiscal year ending March 31, 2022, thanks to the addition of 38 new locations.
3. Total loan assets under management increased by 14 percent to INR 5,067 crores as of March 31, 2022, from INR 4,445 crores the previous fiscal year.
4. Five Star Finance has maintained strong asset quality for the fiscal year ended March 31, 2022, with Gross NPAs of 1.05 percent, which is among the best in the industries.
5. During the fiscal year ended March 31, 2022, Five Star Business Finance funding, both on the equity and debt sides, was very encouraging. During the first quarter of the fiscal year, it raised new equity capital by adding marquee names like KKR and TVS Capital to its shareholder list. As part of this fundraising round, the company has provided an attractive exit to one of the earliest private equity investors-NHPEA Chocolate Holding B.V. (Morgan Stanley) in addition to the 518 crores of capital raised.