Tamilnad Mercantile Bank Ltd IPO

  • Min. Investment14000/ 28 Shares
  • Min. Quantity28
  • Price Range₹500 - ₹525
  • Date Range05 Sep 22 - 07 Sep 22
  Retail Investor can invest upto Rs 2,00,000 in IPO
Dates
  • Application Start Date05 Sep 2022
  • Application End Date07 Sep 2022
  • Allotment begins
  • Refund Initiation Date13 Sep 2022
  • Allotment Date12 Sep 2022
  • Listing On Exchange15 Sep 2022
Registrar Information
  • NameLink Intime India Pvt Ltd
  • Contact no.+91 22 4918 6200
  • Email IDtmb.ipo@linkintime.co.in
Company Information

Incorporated in 1983, Kolkata-based Tarsons Products manufactures laboratory products that are used in various research organisations, pharmaceutical companies, academia institutes, hospitals and diagnostic centres.

The company plans to go public and here’s all you need to know about this IPO.

Financial information

Here’s the consolidated financial information for the last three years:

Particulars FY20 FY21 FY22
(Rs Crore)
Revenue 3466.11 3609.05 3833.86
Net Profit 407.69 603.33 821.91
Total Assets 15043.03 16457.57 19366.95
Strengths
  • Strong legacy, loyal customer base and focus on improving servicing framework;
  • Strong presence in Tamil Nadu with focus to increase presence in other strategic regions;
  • Advances with focus on MSME, agricultural and retail segments;
  • Consistently growing deposit base with focus on low-cost retail CASA;
  • Professionally managed Bank with experienced senior management team and board of directors;
Risks
  • 37.73% of its paid up equity share capital or 53.76 million Equity Shares are subject to outstanding legal proceedings which are pending at various forums and, in connection with which, proceedings against the Bank have been initiated by various regulatory authorities, including the RBI, the Directorate of Enforcement, some of whom have imposed and sought to impose penalties on it in the past. The bank cannot assure you that these matters will be resolved in a timely manner or at all and any adverse developments in such proceedings could result in the imposition of injunctions or penalties or require it to incur significant costs to contest any of which could have a material impact on its reputation, business, financial condition and results of operation.
  • Its business, reputation and financial results could be impacted by adverse results in legal proceedings. The company has also issued notices and initiated various recovery proceedings against defaulting borrowers under the SARFAESI Act and failure by such borrowers to repay the outstanding borrowings pursuant to such notices and proceedings may adversely affect its business. the bank is also susceptible to operational risks, including fraud, petty theft, negligence and embezzlement by its employees or its customers, which could harm its results of operations and financial position.
  • The company has received and may in the future receive multiple anonymous whistle blower complaints, which may adversely affect its reputation which could consequently adversely impact its business, financial condition and results of operation.
  • Its former director has filed a writ petition before the High Court of Madras seeking to prevent the Bank from undertaking the Offer, and the bank has received multiple complaints from former directors and shareholders of the Bank regarding disclosures in the Draft Red Herring Prospectus and invitations to participate in the offer for sale, any or all of which could harm it by impairing it ability to retain clients, subject the bank to significant legal liability, cause reputational harm or prevent it from proceeding with this Offer.
  • The company has regional concentration in southern India, especially Tamil Nadu. Any adverse change in the economic, political, or geographical conditions of Tamil Nadu and other states in which its operate can impact the bank results of operations.
Opportunities
  • Continue to strengthen its product portfolios across deposits and advances
  • Transformation through technology to improve efficiency and customer experience
  • Continue to improve asset quality
  • Continue to strengthen its product portfolios across deposits and advances
  • Transformation through technology to improve efficiency and customer experience
What is Pre Apply?

Pre Apply will allow you to apply for an IPO 1-3 days before the bidding period starts. You'll get the UPI payment mandate once the IPO is open.

Learn more about Pre applying
How to Apply?

Select the IPO you want to apply for from the list of open issues. Enter your correct UPI ID and select the investor type. The quantity should be a multiple of the lot size. If you wish to apply at the cut-off price, simply click on the checkbox next to ’Cut-off price’. You will receive an SMS from the NPCI confirming your bid and requesting you to accept the mandate on your UPI app. We have noticed a significant delay in UPI payment SMS/notifications from NPCI. Request you to be patient. Please ignore this message if you’ve accepted the mandate

How to check your IPO allocation status

Tarsons Products allotment status will be available on or around 23 November 2021. The allotted shares will be credited to the demat account by 25 November 2021. We will provide you with the link to check the allocation’s status as soon as the registrar makes it live. This may happen after the IPO is closed (after 17 November 2021).