About Company

• Jana Small Finance Bank (“Jana SFB”) was incorporated as ‘Janalakshmi Financial Services Private Limited’ on July 24, 2006, at Bengaluru, Karnataka as a private limited company. It started operating as a Small Finance Bank w.e.f. March 28, 2018. Jana SFB is the 4th largest Small Finance Bank in terms of AUM and the 4th largest Small Finance Bank in terms of deposit size as at September 30, 2023.

• Jana SFB had 771 banking outlets, including 278 banking outlets in unbanked rural centres, in 22 states and 2 union territories as on September 30, 2023. It has served nearly 12 million customers since 2008, including 4.87 million active customers as at September 30, 2023.

• The bank’s primary secured loan products are secured business loans, micro loans against property (“Micro LAP”), MSME loans, affordable housing loans, term loans to NBFC, loans against fixed deposits, 2-wheeler loans, and gold loans.

• Jana SFB is also a corporate agent for third-party life insurance products, general (non-life) insurance products and health insurance products, including COVID-19 insurance products.

• Jana SFB was amongst the Top-5 Small Finance Banks in term of share of Retail Deposits (comprising CASA and Retail Term Deposits) as a percentage of total deposits among all Small Finance Banks as at March 31, 2023.

• Jana SFB has placed a strong emphasis on increasing their Retail Deposits, and with its low-cost, diversified Retail Deposit base, the bank has decreased its Cost of Funds from 8.61% as at March 31, 2021, to 7.02% as at March 31, 2023.

• Jana SFB’s Shareholders include TPG, HarbourVest Group, Amansa Capital, Morgan Stanley and Hero Ventures. In June 2023, they raised ?449.94 crore through the issuance of Equity Shares to new and existing investors and ?112 crore through the issuance of Preference Shares.

Strengths

Competitive Strength 

• Digitalised bank with majority of the services available in digital form to customers; 

• Integrated risk and governance framework;

• Professional and experienced management and Board;

• Customer-centric organization with more than 16 years’ experience in serving underbanked and underserved customers;

• Pan-India presence with strong brand recognition;

• Fast growing Retail Deposits base and diversified deposit franchise;

• Proven execution ability

Business Strategies 

• Focus on accelerating secured loans book with the purpose of meeting customers’ needs and diversifying the lending book;

• Reshape the unsecured loans (Microfinance Loans) business;
• Improve the risk profile;
• Enhance the growth of Retail Deposits;
• Alliances with third parties from banking to broking;
• Deepen customer relationships;

• Continued focus on digitized operations

Company Promoters

Company Financials

Jana Small Finance Bank Limited's revenue increased by 20.82% and profit after tax (PAT) rose by 1365.12% between the financial year ending with March 31, 2023 and March 31, 2022.

Objects of the Issue

The Bank proposes to utilize the Net Proceeds from the Fresh Issue towards augmenting the Bank's Tier - 1 capital base to meet the Bank's future capital requirements. Further, the proceeds from the Fresh Issue will also be used towards meeting the expenses in relation to the Offer. The Bank expects to receive the benefits of listing the Equity Shares on the Stock Exchanges.