Equitas Small Finance
Bank Limite dwaives off non-maintenance charges on all savings accounts in this New
Year
Offers up to 7.5%
p.a. on Savings and up to 8.25% p.a. on Fixed Deposits (“FDs”)
Equitas Small Finance
Bank Limited (the “Bank”), the largest small finance bank ("SFB") in India in terms of number of banking outlets as of
March 31, 2019 (Source: CRISIL report),
has waived off non-maintenance charges on all savings accounts in the New Year.The
Bank also offers lower transaction charges to customers. This is expected to benefit
certain of its customers.
The Bank offers up to
7.5% p.a. on Savings and up to 8.25% p.a. on FD + 0.60% extra for Senior
Citizens. Further, premature closure and partial withdrawal is
permitted for Senior Citizens. The Bank also offers
discounts and other privileges with Equitas Small Finance Bank debit cards.
The interest rates
offered in the savings and FDs is aimed at customers who want to earn more on their
savings. The nature of the products will enable them to save and earn through
interest rates & NMC.
Mr. Murali V, President & Country Head - Branch
Banking, Liabilities, Product & Wealth, Equitas Small Finance Bank Ltd.,
said,”. We offer services that cater to banking needs. We also distribute
products through digital channels, and leverage technology to identify
opportunities to better serve our target customer segment. To this end, we have
introduced facial recognition features for transaction authentication in our
mobile banking application.”
Incidentally, the
Bank witnessed the second fastest growth in deposits from Fiscal 2018 to Fiscal
2019 (Source: CRISIL report). Its
deposits have grown at a CAGR of 116.51% from ₹19,212.89 million as
of March 31, 2017 to ₹90,067.36 million as of March 31, 2019. As of
March 31, 2019, its current account savings account ratio was the second highest among SFBs in
India, and its retail deposits to total deposits ratio was the third highest
among SFBs in India (Source: CRISIL report).
Mr. Murali V
added, “We intend to further strengthen our liability franchise with a focus on
growing our retail deposit and CASA deposit base to provide us with a stable
and low-cost source of funding. We aim to achieve this by attracting greater
retail deposits from our customer segments, and particularly the mass and
mass-affluent customer segments. For instance, we have recently launched
differentiated CASA products for various types of customers, such as the ‘Wings
Account’ for mass-affluent depositors and ‘Elite Programme’ for higher income
households. We introduced an online account called ‘Selfie Digital Savings
Account’, which enables potential customers to open a bank account online.”
Equitas Small Finance
Bank Limited is the largest SFB in India in terms of number of banking outlets,
and the second largest SFB in India in terms of assets under management and
total deposits in Fiscal 2019. (Source:
CRISIL report). As ofSeptember 30, 2019, its distribution channels
comprised 853 Banking Outlets and 322 ATMs across 15 states and
unionterritories in India. Its focus customer segments include individuals with
limited access to formal financing channels on account of their
informal,variable and cash-based income profile. It offers a range of financial
products and services that address the specificrequirements of these customer
segments by taking into account their income profile, nature of business and
type of securityavailable. Its asset products are suited to a range of
customers with varying profiles. These include provision of small businessloans
comprising loan against property, housing loans, and agriculture loans to
micro-entrepreneurs, microfinance to joint liability groups
predominantlycomprising women, used and new commercial vehicle loans to drivers
and micro-entrepreneurs typically engaged in logistics,MSE loans to
proprietorships, and corporate loans. On the liability side, its target
customers comprise mass and mass-affluentindividuals to whom the Bank offers
current accounts, salary accounts, savings accounts, and a variety of deposit
accounts. In addition, it also provides non-credit offerings comprising
ATM-cum-debit cards, third party insurance, mutual fund products, andissuance
of FASTags.
Disclaimer:
Equitas Small Finance Bank Limited is
proposing, subject to receipt of requisite approvals, market conditions and
other considerations, to make an initial public offer of its equity shares and
has filed a draft red herring prospectus dated December 16, 2019 (“DRHP”) with
the Securities and Exchange Board of India. The DRHP is available on the
website of the SEBI at www.sebi.gov.in as well as on the websites of the book
running lead managers, JM Financial Limited, Edelweiss Financial Services
Limited and IIFL Securities Limited, at www.jmfl.com, www.edelweissfin.com and
www.iiflcap.com respectively, the website of the National Stock Exchange of
India Limited at www.nseindia.com and the website of the BSE Limited at www.bseindia.com,
respectively. Investors should note that investment in equity shares involves a
high degree of risk. For details, potential investors should refer to the RHP
which may be filed with the Registrar of Companies, Tamil Nadu, situated at
Chennai, in future including the section titled “Risk Factors”. Potential
investors should not rely on the DRHP filed with SEBI in making any investment
decision.
The Equity Shares have not been and
will not be registered under the U.S. Securities Act of 1933, as amended (the
“Securities Act”) or any other applicable law of the United States and, unless
so registered, may not be offered or sold within the United States, except
pursuant to an exemption from, or in a transaction not subject to, the
registration requirements of the Securities Act and applicable state securities
laws. Accordingly, the Equity Shares are only being offered and sold (i) within
the United States only to persons reasonably believed to be “qualified
institutional buyers” (as defined in Rule 144A under the Securities Act, “Rule
144A”) in transactions exempt from, or not subject to, registration
requirements of the Securities Act, and (ii) outside the United States in
offshore transactions in reliance on Regulation S under the Securities Act and
pursuant to the applicable laws of the jurisdictions where those offers and
sales are made. There will be no public offering of the Equity Shares in the
United States.
For further details contact:
Vignesh Murali,
Vice President
& Head – Marketing, Brand & Corporate Communication,
Equitas Small
Finance Bank
M: +91 9952020629
or +91 9840168185|T: +91 44 4299 5097 | F: +91 44 42995050
Adfactors PR – Nikhil
MansukhaniMob: 9833552171/ 9820531932
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