Business

Sarvodaya Development Finance IPO oversubscribed 

Sarvodaya Development Finance’s (SDF) Rs. 1 billion Initial Public Offering (IPO) was oversubscribed on the initial opening day. The company secretary issued the announcement of the oversubscription within two hours of the opening. 

Underwritten by NDB Investment Bank and Sampath Bank, the IPO was aimed at raising Rs. 1 billion, through 45 million ordinary voting shares at a price of Rs. 22.00 per share. The stake offered was 30.38%. There was active interest from a range of investors, both individuals and institutions alike.

Commenting on the resounding positive conclusion of the IPO, SDF Chairman Channa de Silva stated: “We are pleased to receive such overwhelmingly positive feedback to SDF’s IPO and would like to offer a sincere note of gratitude to all those who subscribed, placing their confidence in our enterprise and its journey. The tremendous success of our IPO will successfully aid the growth in our rural loan portfolio, which will in turn assist in developing many rural villages across the country and is a true reflection of both local and international investors’ faith in the good work that SDF does.” 

He emphasised the organisation’s commitment to engage the rural and village-based public in the mainstream of the capital market and national economy. “We will also bring new thinking and new ideas through our village-based platform to the economy and will be committed to empower rural and village businesses and entrepreneurs.”

Discussing the achievement further, SDF CEO Nilantha Jayanetti stated: “Today marks a momentous day for all of us at SDF. Not only does the oversubscription of our IPO reflect the confidence that investors have in us as a company, it also strengthens SDF’s goal of continuing to be Sri Lanka’s fastest growing development finance company, uplifting and empowering rural masses all across the nation. We at SDF recognise the importance of meeting shareholder expectations and reassure our investors of the attractive valuations and consistent returns they will experience, having subscribed to our IPO. We look to the future with much confidence and believe this milestone will aid in catapulting SDF to the next level of business.”