TMB (Tamilnad Mercantile Bank) IPO is going to hit Dalal street on 05 September 2022. The company aims for an issue size of ₹831.60 crores through this initial issue.
Tamilnad Mercantile Bank
Tamilnad Mercantile Bank is one of the oldest private sector banks in India. TMB has a history of almost 100 years. the bank offers a wide range of banking and financial services. primarily to micro, small and medium enterprises (“MSME”), agricultural and retail customers (“RAM”).
As of June 30, 2021, TMB 509 branches, of which 106 branches are in rural, 247 in semi-urban, 80 in urban and 76 in metropolitan centers. Its overall customer base is approximately 4.93 million as of June 30, 2021 and 3.45 million or 69.96% of its customers have been associated with it for a period of more than five years and have contributed to INR275,619 million or 67.02% to its deposits and INR179,638.99 million or 57.56% to its advances portfolios as of June.
As per the CRISIL Report, it had the second highest Net Profit for Fiscal 2021 amongst its Peers, and its Return on Assets was also higher at 1.3% compared to a median 0.7% for its Peers for Fiscal 2021.
Major strengths of Tamilnad Mercantile Bank
- 100 years of history and brand value.
- Strong presence in Tamil Nadu and continues trying to expand its presence in strategic regions.
- Diversified base.
- Growing customer deposit base.
- Good track record of financial performance.
Objects of the Issue
- To augment the tier-I capital base to meet future capital requirements.
- For Meeting the offer issue expenses.
- For the benefits of listing the shares on the stock exchanges.
Basic details about the company
| Full name | Tamilnad Mercantile Bank |
| Sector | Bank |
| Industry | Bank-Private |
| Company Website | www.tmb.in |
Dates to remember
| IPO Opening date | 05 September 2022 |
| IPO Closing | 07 September 2022 |
| Basis of Allotment | 12 September 2022 |
| Initiation Refunds | 13 September 2022 |
| Credit to Demat Account | 14 September 2022 |
| Listing Date | 15 September 2022 |
Tamilnad Mercantile Bank IPO details
| Issue type | Book Building |
| IPO issue size | ₹831.60 Cr |
| Fresh Issue | ₹831.60 Cr |
| Offer for sale | NIL |
| Number of shares Offered | 15,840,000 shares |
| Face value | ₹10 Per equity share |
| Price band | ₹500 to ₹525 per equity share |
| Retail Allocation | 10% |
| Lot size | 28 Shares |
| Minimum application | 28 Shares |
| Maximum application | 13 Lots- 364 shares |
| Minimum application amount | ₹14,700 |
| Maximum application amount | ₹191,100 |
| Listing Exchange | BSE & NSE |
Tamilnad Mercantile Bank Financial Performance
| FY2019 | FY2020 | FY2021 | FY2022 | |
| Revenue | ₹3,224.5 | ₹3,466.1 | ₹3,609.1 | ₹3,833.9 |
| Expenses | ₹3,380.2 | ₹3,584.8 | ₹3,650.1 | ₹3,834.5 |
| Net income | ₹294.6 | ₹464.9 | ₹654.0 | ₹901.9 |
| Margin (%) | ₹9.14 | ₹13.4 | ₹18.1 | ₹23.5 |
Tamilnad Mercantile Bank Valuations & Margins
| FY2019 | FY2020 | FY2021 | FY2022 | |
| EPS | 18.14 | 28.61 | 42.34 | 57.67 |
| PE ratio | – | – | – | 8.67 – 9.10 |
| RONW (%) | 7.15 | 10.24 | 13.17 | 15.40 |
| ROE (%) | 7.36 | 10.73 | 14.10 | 10.73 |
| EBITDA (%) | – | – | – | – |
| Net NPA (%) | 2.40 | 1.80 | 1.98 | 1.80 |
| NAV | 253.89 | 279.25 | 321.38 | 374.41 |
IPO reservation pattern
| QIB- Qualified Institutional Bidder | 75% |
| NII-Non Institutional Investors | 15% |
| RII-Retail Individual Investor | 10% |
Company Promoters
- Liberatha Peter Kallat
- Mukesh Yadav
- Dinesh Nagpal
Lead Manager(s)
- Axis Capital Limited
- Motilal Oswal Investment Advisors Pvt Ltd
- SBI Capital Markets Limited
Tamilnad Mercantile Bank IPO GMP Daily Trend
| Date | Consolidated Grey Premium | Kostak | Subject to Sauda |
| – | – | ||
| 30 Aug 2022 | 20 | – | – |
Tamilnad Mercantile Bank IPO Subscription – Live Updates
| Category | Shares Offered | Day 1 | Day 2 | Day 3 |
| QIB | ||||
| NII | ||||
| Retail | ||||
| Total |
Tamilnad Mercantile Bank IPO Allotment Status
Tamilnad Mercantile Bank IPO allotment will be available on Link Intime’s website. Click on this link to get allotment status.
Tamilnad Mercantile Bank Offer Registrar
Link Intime India Private Limited
C-101, 1st Floor, 247 Park
L.B.S. Marg, Vikhroli West
Mumbai – 400 083, Maharashtra
Phone: +91 22 4918 6200
Email: tmb.ipo@linkintime.co.in
Website: www.linkintime.co.in
Tamilnad Mercantile Bank Contact details
Tamilnad Mercantile Bank Limited
No. 57, Victoria Extension Road,
Thoothukudi – 628 002,
Tamil Nadu, India;
Phone: +91 461 2325136
Email: secretarial@tmbank.in
Website: www.tmb.in
Final thoughts
Tamilnad Mercantile Bank IPO is going to hit Dalal street soon. applying for IPO is purely a personal choice. study well about the company and do subscribe if you are feeling good about the company. I hope this post will give you enough details to make a fundamental study of the company. learn well and make wise decisions.
Happy Investing
