- SBI Cards IPO will open for subscription on March 2
- SBI Cards is the second-largest credit card issuer in India with an 18% market share
The much anticipated ₹9,000-crore initial public offering (IPO) of SBI Cards and Payment Services will open for subscription on March 2. The price range has been fixed at ₹750-755 per share. The lot size of SBI Cards IPO, or the minimum number of shares to be subscribed, has been fixed at 19 shares. SBI Cards IPO will close on March 5.
SBI Cards shares are expected to be listed on BSE on March 16, the Wall Street Journal reported. Link Intime India Private Limited is the registrar to the offer.
In a regulatory filing, SBI said that a discount of ₹75 per share will also be offered to the “eligible employees”.
SBI Cards will offer up to about 13 crore equity shares through an offer-for-sale route. This will include up to 37,293,371 share sale by SBI and up to 93,233,427 shares on offer by Carlyle Group. In addition, the company will also issue fresh equity shares of ₹500 crore.
SBI holds 76% in SBI Cards and the rest of the stake is held by Carlyle Group.
SBI Cards is the second-largest credit card issuer in India with an 18% market share.
SBI Cards was launched in October 1998 by SBI and GE Capital. In December 2017, State Bank of India and the Carlyle Group acquired GE Capital’s stake in the company.
Bank of America Securities, Axis Capital, Kotak Investment Banking, HSBC and Nomura are the financial institutions advising SBI Cards on the IPO.
