Incorporated in 2016, Utkarsh Small Finance Bank (USFB) is a small finance bank with a pan-India presence, having operations across 26 states and union territories in India as of March 31, 2023. The promoter, Utkarsh CoreInvest commenced operations as an NBFC in 2010 and was focused on providing microfinance to unserved and underserved segments and in particular in the states of Uttar Pradesh and Bihar. In October 2015, Utkarsh CoreInvest received the RBI approval to establish an SFB, following which it incorporated Utkarsh Small Finance Bank as a wholly-owned subsidiary on April 30, 2016.

In the last three fiscals, USFB registered continued growth in its total income at ₹1,705.84 crore in FY21, ₹2,033.65 crore in FY22, and ₹2,804.29 crore in FY23. The net profit stood at ₹111.82 crore in FY21, ₹61.46 crore in FY22, and ₹404.50 crore in FY23. On the asset quality front, the net NPAs for the last three years stood at 1.33%, 2.31%, and 0.39%, respectively.

Headquartered in Varanasi, the bank has a strong presence in the rural and semi-urban geographies with a network of 830 branches, 287 ATMs, and 546 micro ATMs. It has assets under management (AUM) of ₹5,000 crore and was the second fastest-growing SFB in India in the financial year 2019 and FY22. The bank offers loans up to ₹50 crores with a maximum tenure of up to 30 years.

The recent IPOs such as Senco Gold and Ideaforge have managed to garner strong response from the market, which reflects a growing appetite for Indian equities amongst the QIBs as well as retailer investors. The secondary market has seen a remarkable rally in the last one month, with BSE Sensex and Nifty50 rising more than 5.5% and hitting their respective all-time highs.

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Utkarsh SFB IPO listing

Utkarsh Small Finance Bank shares list at 60% premium over IPO price