SEBI approves Fino Payments Bank’s ₹1,300 crore IPO, Paytm next in line

Oct 4, 2021, 18:32 IST

Canva/BI India

Fino plans to raise ₹300 crore through fresh issue and ₹1000 through secondary issue.
It had filed its draft red herring prospectus (DRHP) in July 2021.
Paytm too was reportedly supposed to get its approval today, but the application is still under process.
Fino, SEBI has also approved the IPO of Kerala-based vehicle dealer Popular Vehicles

India’s market regulator Securities and Exchange Board of India (SEBI) has approved the initial public offering (IPO) of Fino Payments Bank on October 4.

The company plans to raise ₹1,300 crore through this public issue. About ₹300 crore will be raised through the fresh issue, while the rest ₹1,000 crore will be through the secondary issue, offering partial exit to existing shareholders. The company had filed its draft red herring prospectus (DRHP) in July 2021.

Founded in 2007 as Fino Fintech Foundation Limited, the company rebranded itself to Fino Fintech Private Limited in 2015. The company was granted in-principle approval by the Reserve Bank of India (RBI) to establish a payments bank the same year. Though, it commenced operations in June 2017.

Rishi Gupta is the managing director and chief executive officer of Fino Payments Bank, and was one of the founding members of the Fino Paytech.

According to a Zee Business report published earlier today, SEBI was likely to give approval to FIno and One97 Communications, the parent company of digital payments giant Paytm. However, the One97 Communications’ request is still being processed by the market regulator.