Valuation hurdle for Ujjivan and Equitas SFBs; stocks fall over 1%

Analysts say the holding company discount could exceed 50 per cent considering their shareholding structure

Ending nearly a year’s speculation on whether Ujjivan Financial Services, the holding company of Ujjivan Small Finance Bank (SFB), would receive any grace from the regulator on listing its SFB, last weekend the former announced that it would do through an initial public offer (IPO) by January next year. The listing is a part of the SFB licensing mandate, where the bank has to be listed within three years from date of commencement of operations. While Equitas Holding’s plan in this regard isn’t known yet, the company has time till early September to list its SFB, though it has sought