Press Release
Jana Small Finance Bank raises Rs 225 crores capital
- Significant Turnaround in financial health.
- Substantial traction in deposit mobilisation.
Jana Small Finance Bank has announced a raise in equity capital of Rs 225 crores from existing investors. With an infusion of Rs. 225 crores of equity during October 2019, the Capital Adequacy Ratio for Jana Bank has reached 19.97% (as on October 31, 2019) more than regulatory minimum requirement of 15% for Small Finance banks. The total capital infusion for Jana Bank (circa April 2017-present) stands at Rs. 2,947 crores. This infusion from existing investors namely Jana Holdings limited, TPG Asia and HarbourVest Partners showcases a strong confidence of investors towards JSFB.
Significant Turnaround in financial health:In Q2-FY 20, the Bank made a net profit of Rs. 7 crores. The improvement in balance sheet has been due to a consistent growth of the asset book while maintaining a tight control on the quality of new bookings, aggressive cost management and recoveries from the legacy NPA books respectively, thereby ensuring a continued improvement in profits. The banks net non-performing assets reduced sharply to 1.72% of net advances as on October 31, 2019 and gross non-performing assets stood at 3.98% on AUM as on October 31, 2019.
Substantial traction in deposit mobilisation:Total deposits of the bank as of September 30, 2019 were Rs. 7,503 crores- Three times more than the September 30, 2018 base of Rs. 1,824 crores respectively. Deposit growth has also improved after Jana Bank got its Scheduled bank status in August 2019
Total advances of the bank showed an increase of over 24% from September, 2018 to September, 2019 standing at Rs. 8,550 crore. The asset book continues to diversify with 25% of the book being secured (affordable housing, MSE, Gold) up from 10% in Sep 2018.
Being back in the black, JSFB now aims on solidifying its numbers in the upcoming quarters and continuing its journey in financial inclusion
About Jana Small Finance Bank: Jana Small Finance Bank, erstwhile Janalakshmi Financial Services (JFS), is headquartered in Bengaluru and has over a decade of existence. It is one of the 10 financial institutions which had received in-principal approval from the RBI for a Small Finance Bank in 2015. Jana Small Finance Bank received final banking license in April 2017; it started banking operations on March 28, 2018. Currently, the bank is serving 5.5 million customers across 20 states and Union Territories in India. Its vision is to become the leading inclusive digitized bank serving all customer segments and communities of an aspirational India. For more details, visit, https://www.janabank.com
Substantial traction in deposit mobilisation Total deposits of the bank as of September 30, 2019 were Rs. 7,503 crores- Three times more than the September 30, 2018 base of Rs. 1,824 crores respectively. Deposit growth has also improved after Jana Bank got its Scheduled bank status in August 2019
Total advances of the bank showed an increase of over 24% from September, 2018 to September, 2019 standing at Rs. 8,550 crore. The asset book continues to diversify with 25% of the book being secured (affordable housing, MSE, Gold) up from 10% in Sep 2018.
Being back in the black, JSFB now aims on solidifying its numbers in the upcoming quarters and continuing its journey in financial inclusion
About Jana Small Finance Bank:Jana Small Finance Bank is a Scheduled Commercial Bank. Established in Bengaluru in 2008, it has been recognized globally as one of the most innovative financial institutions working on financial inclusion.
As on September 30, 2019, the Bank’s distribution network was at 270 banking outlets (including 25 business correspondence outlets), 298 asset centres and 120 ATMs. Of the total banking outlets, 43% are in semi-urban and rural areas. Number of employees were at 14,452 as of Sep 30, 2019.