Prime Highlights
- OIJIF II, backed by Oman’s sovereign wealth fund and SBI, sold a 3.65% stake in Capital Small Finance Bank for ₹36.79 crore at ₹270 per share.
- Capital Small Finance Bank reported a 17% year-on-year rise in net profit to ₹40 crore for the March quarter, driven by stronger asset quality and MSME lending growth.
Key Facts
- Capital Small Finance Bank is a Jalandhar-based lender focused on retail and MSME lending.
- Net interest income grew 17% year-on-year to ₹121 crore, with total quarterly income at ₹299 crore.
Background
Oman India Joint Investment Fund II (OIJIF II) divested 3.65% of its equity in Capital Small Finance Bank through a block deal executed on the National Stock Exchange in the first week of June. OIJIF II divested its 1.36 million shares priced at ₹270 per share, making the deal worth around ₹36.79 crore.
The Lyptus Punch-Card Fund bought the entire equity stake from the divestment. The deal was executed at a slight discount to Capital Small Finance Bank’s closing price of ₹273.05 on the NSE on the same day.
OIJIF II is a private equity fund promoted jointly by the sovereign wealth fund of the Sultanate of Oman and the State Bank of India. The latest transaction marks a partial exit by one of the bank’s institutional investors.
Capital Small Finance Bank reported a net profit of ₹40 crore for the quarter ended in late March, reflecting a 17% rise compared to the same period a year ago. Net interest income grew at the same pace, climbing 17% to ₹121 crore from ₹103 crore. The bank made ₹299 crore in total revenue during the quarter.
The lender posted improvement in asset quality alongside steady earnings growth. Its MSME portfolio showed strong momentum during the quarter, which the bank identified as a key driver of its overall growth strategy.
Capital Small Finance Bank is headquartered in Jalandhar and focuses primarily on retail and MSME lending. Shares of the bank closed nearly 2% higher on the day of the block deal.
