RBL Bank divested entire 8.2% stake in DAM Capital after the IPO for Rs 163 crore

The bank said it now does not hold any equity stake in the investment bank after the transaction.

RBL Bank has divested its entire 8.16% stake in DAM Capital through an OFS during the public issue that was open between December 19-23 for a sum of Rs 163.32 crore, excluding taxes, the company said in an exchange filing on December 26. The bank said it now does not hold any equity stake in the investment bank after the transaction.

The corporate action was initiated on December 26, a day before the listing of the pure play investment bank.

"RBL Bank participated in the Initial Public Offering (IPO) of DAM Capital Advisors (DAM Capital) through an offer for sale process and divested its entire holding i.e. 57,71,000 equity shares of face value of Rs. 2 each, representing 8.16% of the issued and paid-up equity share capital of DAM Capital. Following the above transaction, the Bank does not have any
equity shareholding in DAM Capital," a company filing said.

The 57.71 lakh shares represent 8.16% equity in DAM Capital which was sold through offer for sale, as part of IPO of DAM Capital. Prior to this, RBL Bank had sold 10.60 lakh shares, representing 1.50% stake in DAM Capital in the secondary market, the lender informed. This secondary market transaction was below the threshold limit requiring disclosure, as per SEBI regulations.

Read More: Chance to participate in growth story from the beginning: DAM Capital's Dharmesh Mehta

The Rs 840 crore IPO of DAM Capital closed on December 23 to with a massive 81.88 times subscription. Qualified institutional buyers were at the forefront of boosting the subscription numbers, bidding 166.33 times their allotted quota, followed by non-institutional investors who bought 98.47 times their reserved portion.

This is being updated.