Sarvodaya DF IPO oversubscribed on opening day

Sarvodaya Development Finance (SDF)’s

Rs. 1 billion Initial Public Offering (IPO) was oversubscribed on the initial opening day this week. The company secretary issued the announcement of the oversubscription within two hours of the opening.

Underwritten by NDB Bank and Sampath Bank, the IPO was aimed at raising Rs. 1 billion, through 45 million ordinary voting shares at a price of Rs. 22 per share. The stake offered was 30.38 per cent. There was active interest from a range of investors, both individuals and institutions alike, the company said in a media release.

Commenting on the positive conclusion of the IPO, Channa de Silva, Chairman, SDF stated, “We are pleased to receive such overwhelmingly positive feedback to SDF’s initial public offering and would like to offer a sincere note of gratitude to all those who subscribed to our IPO, placing their confidence in our enterprise and its journey. The tremendous success of our IPO will successfully aid the growth in our rural loan portfolio, which will in turn assist in developing many rural villages across the country and is a true reflection of both local and international investors’ faith in the good work that SDF does.”

He emphasised the organisation’s commitment to engage the rural and village base public in the mainstream capital market and national economy. “We will also bring new thinking and new ideas through our village-based platform to the economy and will be committed to empower rural and village businesses and entrepreneurs.”