September 5, 2019 12:05 PM
SBI’s credit card business aims to raise ₹8,000 crore via IPO!
SBI Card & Payments Services Ltd, the credit card subsidiary of State Bank of India (SBI), plans to raise about 80 billion Indian rupees ($1.12 billion) via an initial public offering this year, a senior SBI executive involved in the process said.
This would value the overall business at about 1 trillion rupees ($14 billion). At the end of March 31, 2019, SBI Card, which is 74% owned by SBI and 26% by U.S private equity firm Carlyle Group, had total assets worth 195.93 billion rupees.
At the end of March 31, 2019, SBI Card, which is 74% owned by SBI and 26% by U.S private equity firm Carlyle Group, had total assets worth 195.93 billion rupees.
It is the second-largest credit card issuer in the country, with 8.8 million outstanding cards as of June 30. It only trails private lender HDFC Bank in terms of the number of cards issued.
SBI Card will be SBI’s second subsidiary to be listed. In 2017, the bank’s life insurance business SBI Life Insurance was listed in an 84 billion rupees IPO.
It was the biggest IPO after Coal India’s in 2010.
Also read: IRCTC Files for IPO
