Black Friday: Equitas, Ujjivan shares tank on RBI's tough SFB listing stand

Till clarity emerges on regulatory fronts and the two companies diversify their loan books in a healthy way, it may not be rewarding for shareholders

It was Black Friday for stocks of Equitas Holdings and Ujjivan Financial Services, which hit an all-time low (since their listing in 2016) before closing the day with a loss of 23.3 per cent and 17.6 per cent, respectively, on the BSE. 

Friday's fall follows the Reserve Bank of India (RBI) reiterating that the two companies will need to list their small finance banks (SFB) in three years from the start of operations. Analysts say that the RBI maintaining its tough stand on listing the SFB business came as a surprise, given that the holding company structure was created to