RBL Bank has fully divested its 8.16% stake in investment bank DAM Capital Advisors Ltd. The stake sale, conducted through an Offer for Sale (OFS) during DAM Capital’s Initial Public Offering (IPO) from December 19-23, fetched the bank ₹163.32 crore (excluding taxes), according to an exchange filing on December 26. Following this transaction, RBL Bank no longer holds any equity in the investment bank.
IPO Attracts Robust Demand Across Categories
DAM Capital’s IPO received overwhelming demand, achieving 6.98 times subscription by the second day of bidding. The offering attracted bids for 14.52 crore shares, far exceeding the 2.08 crore shares on offer, according to data from the NSE.
- Non-Institutional Investors (NII): Subscribed 11.49 times.
- Retail Individual Investors (RII): Subscribed 8.96 times.
- Qualified Institutional Buyers (QIB): Garnered 7% subscription.
The IPO, with a price band of ₹269-283 per share, was fully subscribed just hours after opening on December 21 and concluded on December 23.
Anchor Investment Secured Ahead of IPO
Ahead of the public issue, DAM Capital Advisors raised ₹251 crore from anchor investors, signaling strong institutional confidence in the offering.
Key Details of the IPO
The IPO was structured as an Offer for Sale (OFS), comprising 2.97 crore equity shares valued at ₹840.25 crore at the upper price band. The selling shareholders include:
- Dharmesh Anil Mehta (Promoter).
- Investors such as Multiples Alternate Asset Management, RBL Bank, Easyaccess Financial Services, and Narotam Satyanarayan Sekhsaria.
As this was a complete OFS, the proceeds will go directly to the selling shareholders, with no funds allocated to the company.
Why Go Public?
DAM Capital Advisors stated in its draft papers that the primary objective of the IPO was to list its equity shares on the stock exchanges, providing shareholders an opportunity to liquidate their holdings through the OFS.
About DAM Capital Advisors
DAM Capital is a leading player in the financial advisory space, offering services across:
- Investment Banking: Including equity capital markets (ECM), mergers and acquisitions (M&A), private equity (PE), and structured finance advisory.
- Institutional Equities: Offering broking and research solutions.
With its successful IPO, DAM Capital strengthens its market presence, while providing investors with access to one of India’s premier investment banking firms.
