During Monday’s trading session, shares of a scheduled commercial bank and India’s largest small finance bank declined by 3.3 percent on BSE, after witnessing nearly 1.4 percent equity change hands through four block deals on 5th May, with private equity firms likely among the main sellers.
With a market capitalisation of Rs. 50,628 crores, the shares of AU Small Finance Bank Limited hit an intraday low at Rs. 655 on BSE, down by nearly 3.3 percent, as against its previous closing price of Rs. 677.55. The stock has delivered positive returns of over 7 percent in one year, and has gained around 25 percent in the last one month.
What’s the News
According to sources, the block deal involved the sale of around 1.04 crore shares, valued at ~Rs. 600 crore. The sellers are believed to include private equity firms True North, Indium IV (Mauritius), and Silver Leaf Oak, who collectively offloaded 92.3 lakh shares of AU Small Finance Bank—representing roughly 1.4 percent of the bank’s total equity.
The indicative floor price for the deal was reported to be Rs. 650 per share, representing a nearly 4 percent discount to the previous closing price. Kotak Securities and Investec Capital were reportedly the bankers managing the deal.
As of March 2025 shareholding date on BSE, True North Fund V LLP held a 1.02 percent stake, while Indium IV Mauritius Holdings Ltd. owned a 1.01 percent stake. The transaction appears to be part of a partial exit strategy for some of the bank’s existing investors, with True North having gradually reduced its stake over recent years.
Financial Performance
AU Small Finance Bank reported a growth in net interest income (NII), experiencing a year-on-year increase of nearly 57 percent, rising from Rs. 1,337 crores in Q4 FY24 to Rs. 2,094 crores in Q4 FY25. Similarly, during the same period, the company’s net profit jumped from Rs. 370.7 crores to Rs. 503.7 crores, indicating a rise of around 36 percent YoY.
About the Bank
AU Small Finance Bank Limited, formerly known as AU Financiers (India) Limited, operate as a non-deposit accepting Non-Banking Financial Company (NBFC-ND) and is engaged in the business of providing a range of banking and financial services, including retail banking, wholesale banking and treasury operations and other related services.
Written by Shivani Singh
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