Utkarsh Micro Finance Unlisted Shares
(i) Utkarsh Coreinvest Ltd.(erstwhile Utkarsh Micro Finance Ltd) is the promoting institution for ‘Utkarsh Small Finance Bank‘. Utkarsh Micro Finance Limited has started its operations way back in September 2009 to provide Financial and Non-financial services in its area of operations to the unbanked population who have the skill but are in need of capital.
(ii) The Micro Finance Business was converted into a Bank which started his journey with its incorporation on April 30, 2016. The Bank applied for a Banking Licence to RBI and Subsequently, the final license was received from RBI on November 25, 2016.
Terms and conditions of the license issued to Utkarsh Small Finance Bank Ltd to commence small bank business stipulate amongst others that the promoting entity( Utkarsh Micro Finance Limited) of the small finance bank shall be registered as an NBFC – Core Investment Company after the transfer of its business to the bank.
In line with the conditions to the final license, the existing businesses of the Holding Company, Utkarsh Micro Finance Limited was transferred through a Business Transfer Agreement (BTA) as at the close of business hours on January 21, 2017, to ” Utkarsh Small Finance Bank“. The bank started operations with 5 new branches on January 23, 2017. and with effect from May 03, 2018, Reserve Bank of India issued a certificate for conversion of the Utkarsh Micro Finance Limited company from NBFC – MFI – ND- SI to NBFC – CIC- ND- SI (Non – Deposit taking -Systemically Important Core Investment Company).
The holding company has provided a strong base for starting the Bank with capacity and capability to understand the needs of society at large in this geographical belt. The Bank had 5 Banking branches, 23 MSME Loan offices, 3 Housing Loan offices, and 350 Micro-Finance Branches as at the close of business on March 31, 2017.
Now Utkarsh Micro Finance Limited is only a (Holding company) of Utkarsh Small Finance Bank and holds 99.98367% of shares of Utkarsh Small Finance Bank as on 31.03.2018.
(iii) Services:
Utkarsh Small Finance Bank offers a gamut of Banking products & services which also includes Micro, Small and Medium Enterprise (MSME) Loans, Housing Loans (HL), Wholesale Lending, Deposit Accounts (CASA, FD & RD), Insurance, Mutual Funds, Remittances, Institutional, Government and TASC services. Utkarsh also offers a wide range of payment services which includes Debit Cards, ATMs, POS Payments, Digital offerings like Internet Banking, Mobile Banking and payments through NEFT, RTGS and IMPS.
Headquartered :
Varanasi, Uttar Pradesh Utkarsh Small Finance Bank has operations in Bihar, Chhattisgarh, Delhi-NCR, Haryana and Himachal Pradesh Jharkhand, Madhya Pradesh, Maharashtra, Uttar Pradesh, Uttarakhand, and West Bengal.
Utkarsh Micro Finance Unlisted Shares Details:
| Total Available Shares: | 1000 |
| Face Value: | ₹ 10 Per Equity Share |
| Lot Size: | 100 Shares |
| Current Unlisted Share Price: | ₹ 230 Per Equity Share |
Financials of Utkarsh Micro Finance Unlisted Shares:
| Particulars( In Crs) | FY 17-18 | FY 16-17 |
| Net Worth | 411.00 | 304.90 |
| Deposits | 2,193.70 | 18.70 |
| Borrowing | 1,788.00 | 2,288.00 |
| Particulars(in Cr) | FY 17-18 | FY 16-17 |
| Deposit | 2139 | 18.7 |
| NCDs | 548 | 658 |
| Refinance | 436 | 200 |
| Term Loans | 233 | 849 |
| Sub-ordinated debt | 160 | 160 |
| Term Money | 80 | 0 |
| External Commercial Borrowing | 31.7 | 31.7 |
| Particulars(in Cr) | FY 17-18 |
| Microfinance Loan | 2738 |
| MSME Loan | 103.5 |
| Housing Loans | 15.2 |
| Wholesale Lending | 246.7 |
| Others | 2.2 |
| Total | 3105.6 |
| Particulars( In Crs) | FY 17-18 | FY 16-17 |
| Interest Income | 519.00 | 72.00 |
| Interest Expense | 250.70 | 44.30 |
| Net Interest Income | 268.30 | 27.70 |
| Other Income | 42.30 | 17.70 |
| Total Income | 310.60 | 45.40 |
| Operating profit | 75.5 | 10.5 |
| Provisioning Write off | 170.4 | 4 |
| PBT | -94.8 | 6.5 |
| TAX | -31.8 | 1.7 |
| PAT | -63 | 4.8 |
https://m.economictimes.com/markets/stocks/news/utkarsh-sfb-plans-to-shore-up-equity-for-expansion/articleshow/67879295.cms.
Utkarsh Small Finance Bank (USFB) plans to raise Rs 200 crore in a pre-initial public (IPO) placement in the next few months as it braces for a Rs 1,000 crore equity infusion in two years time to comply with a Reserve Bank of India (RBI) mandated deadline.
They will need Rs 2,000 crore capital in the next three years, which will include around Rs 1,000 crore equity, Rs 300 crore debt capital and also internal accrual, which could be around Rs 700 crore.
The company is planning to go public in two years.
Highlights of FY18
1. Bank presently has operations in Bihar, Chhattisgarh, Delhi-NCR, Haryana, Himachal Pradesh, Jharkhand, Madhya Pradesh, Maharashtra, Uttar Pradesh, Uttarakhand and West Bengal.
2. The Bank has a net increased outreach of over 3.5 lakh customers during the year, The year closed at a total Loan Portfolio Outstanding (Net of Provisions) of ₹3,082.5 and Deposits Base of ₹2,193.9 crore. The Bank proposes to more than double its business by closing the FY2019 books at over ₹11,000 crore.
3. The Bank is adequately capitalized with a CAR of 17.40 % and closed the year with an operating profit of
₹75.6 crore and a net loss of ₹63 crore owing majorly to the demonetization affected accounts write-off. However, on a quarterly basis, the Bank’s PBT for Q4 FY2018 has been ₹18.3 crore.
4. The Gross NPA and Net NPA have been 1.85% and 1.09% respectively as at March 31, 2018.
Utkarsh Small Finance Bank is the wholly owned subsidiary of Utkarsh Micro Finance Limited.
However, Pursuant to condition attached in the approval for small finance bank, the Holding Company entered into a business transfer agreement (BTA) and transferred its micro finance business to the Bank. Pursuant to the BTA all the assets and liabilities (except certain specified assets and liabilities) as at January 21, 2017 of the Holding Company were transferred to the Bank at book value based on slump sale basis for cash consideration of ₹68.51crores.
Now MicroFinance is converted in Small Finance Bank.
During 2016-17, the Utkarsh Micro Finance has received a letter from RBI Received Final Licence for Small Finance Bank operations. Apart from that, they have also :
(i) Launched the New Logo of Utkarsh Group Entities.
(ii) Relaunched Housing Loan (HL) Products
(iii) Utkarsh Welfare Foundation’ [erstwhile SWS (renamed as UWF)] becomes the Group Entity.
(iv) Commencement of Banking Operations (since January 23, 2017).
(v) Client base of over 11.7 lakh.
(vi) Gross Loan Portfolio of I1,613.6 crore