RBL Bank Ltd IPO @ Rs 200 & a Listing Market Cap of over Rs 8000 crs

RBL Bank Ltd (earlier The Ratnakar Bank Ltd) has finally filed it’s Draft Red Herring Prospectus with SEBI yesterday,Tuesday,June 23,2015

The  IPO will in all probability be in a Band of Rs 190 to Rs 200

 

FY 15 Year End Networth is @ Rs 2200 crs with Book Value @ Rs 75 levels with Equity at  Rs 300 cr levels.PAT was Rs 207 crs giving an EPS of @ Rs 7

The indicated IPO Pricing of  Rs 200 would mean PE of just under 30 times and a PBV of 2.7

Post IPO the Networth will move to Rs 3300 cr levels with Equity @ Rs 355 crs and Book Value rising to Rs 93 levels

The Listed DCB Bank @ Rs 129(FV Rs 10) is more or less similar in size to RBL Bank.In FY 15 it earned Rs 191 crs on an Equity of Rs 282 crs giving an EPS of Rs 7.2.The Networth is Rs 1534 crs giving a BV of Rs 54.PE & PBV are 18 and 2.4.Market Cap is Rs 3654 crs

Post IPO  of RBL  a similar 2.4 PBV if applied  on the post IPO BV of Rs 93 will mean a listing level of Rs 225…more likely Rs 250

Market Cap of RBL Bank on Listing should therefore be over Rs 8000 crs