It was established as ‘Nadar Bank Limited’ in 1921 and the name was changed to ‘Tamilnad Mercantile Bank Limited’ in 1962. Tamilnad Mercantile Bank Limited is one of the oldest and leading old private sector banks in India with a history of almost 100 years. They offer a wide range of banking and financial services primarily to micro, small and medium enterprises (“MSME”), agricultural and retail customers (“RAM”).They are headquartered in Tamil Nadu and have a strong presence in the state, with 396 branches and 941 ATMs all over the state.

They have over 509 branches and out of these 106 branches are in rural areas, 247 are in semi-urban areas, 80 in urban and 76 are in metropolitan areas. Their overall customer base is approximately 4.93 million as of June 30, 2021, and 3.45 million or 69.96% of their customers have associated with them for a period of more than five years and have contributed to ₹ 275,619 million or 67.02% to their deposits and ₹ 179,638.99 million or 57.56% to their advances portfolios as of June 2021.

Tamilnad Mercantile bank is present in 15 other states and 4 union territories. They are present in the states of Maharashtra, Gujarat, Karnataka, and Andhra Pradesh and have a presence of 90 branches and 123 ATMs and 15 CRMs as of June 30, 2021.

The bank’s largest branch is in Mumbai and contributes ₹ 16,683.90 million or 2.30% to their total business as of March 31, 2021. One of their oldest branches is in Sivakasi, Tamil Nadu, which was started in 1942 and contributes ₹ 12,806.30 million or 1.77% to our Total Business as of March 31, 2021.

Competitive Strengths

• A strong legacy, loyal customer base and focus on improving servicing framework;
• Strong presence in Tamil Nadu with focus to increase presence in other strategic regions;
• Advances with focus on MSME, agricultural and retail segments;
• Consistently growing deposit base with a focus on low-cost retail CASA;
• Professionally managed Bank with the experienced senior management team and board of directors;
• Strong asset quality, underwriting practices, and risk management policies and procedures; and
• Consistent financial performance.

Company Promoters

• Professionally Managed Bank

Company Financials

Particulars	31 March 2021	31 March 2020	31 March 2019
Total Revenue	4253.4	3992.5	3638.8
Total Expense	3650.07	3584.83	3380.21
Profit After Tax	654.04	464.89	294.61

Object Of The Issue

• To meet Working Capital requirements.
• General Corporate Purpose.
• To meet issue expenses.

Tamilnad Mercantile Bank IPO Peer Comparison

S. No.	Face Value	Company Name	PE
1	1	City Union Bank Limited	18.26
2	10	CSB Bank Limited	23.49
3	10	DCB Bank Limited	8.00
4	2	Federal Bank Limited	9.61
5	2	Karur Vysya Bank Limited	8.97
6	10	Karnataka Bank Limited	3.36
7	10	RBL Bank Limited	16.64
8	1	South Indian Bank Limited	27.71

Tamilnad Mercantile Bank IPO Strengths

• They have strong history of around 100 years and are spread across 16 states and union territories and have a strong customer base of 4.91 million customers.
• They started their operations in Tamil Nadu and now 76.33% of their total business is from the state.
• Tamilnad Mercantile Bank has always focused on small ticket size loan products which are provided to MSME customers, agricultural and retail customers.

Tamilnad Mercantile Bank IPO Risks

• The bank cannot open further branches until they are listed on the stock exchanges and have permission from RBI.
• The bank is currently significantly dependent on Retail, MSME and Agri-financing, customers and any adverse developments in these segments could adversely affect the bank’s business.
• An increase in NPAs will adversely affect the portfolio of the bank.

Tamilnad Mercantile Bank IPO – Details

IPO Opening Date	05 September 2022
IPO Closing Date	07 September 2022
Issue Type	Book Built Issue IPO
Issue Size	₹831.6 Cr
Fresh Issue	1,58,40,000 Shares
Face Value	₹10 per equity share
IPO Price	₹500 – ₹525
Market Lot	28 Shares
Min Order	28 Shares ( 1 Lot )
Listing At	BSE, NSE
Register	Link Intime India Private Limited
QIB Shares Offered	Not more than 50% of the Net Offer
Retail Shares Offered	Not less than 35% of the Net Offer
NII (HNI) Shares Offered	Not less than 15% of the Net Offer

Tamilnad Mercantile Bank IPO – Date Schedule

IPO Open Date	05 September 2022
IPO Close Date	07 September 2022
Basis of Allotment Date	12 September 2022
Initiation of Refunds	13 September 2022
Credit of Shares to Demat Account	14 September 2022
IPO Listing Date	15 September 2022

Tamilnad Mercantile Bank IPO – Lots Size & Price

Application	Lots	Shares	Amount ( Cut-Off)
Minimum	1	28	14,700
Maximum	13	364	1,91,100

Tamilnad Mercantile Bank IPO Prospectus

• Tamilnad Mercantile Bank IPO DRHP
• Tamilnad Mercantile Bank IPO RHP
•  Anchor Investors in Tamilnad Mercantile Bank IPO

Company Contact Information

Tamilnad Mercantile Bank Limited No. 57, Victoria Extension Road, Thoothukudi – 628 002, Tamil Nadu, India Tel: +91 461 2325136 E-mail: secretarial@tmbank.in Website: www.tmb.in

Tamilnad Mercantile Bank IPO Registrar

Link Intime India Private Limited C-101, 1st Floor, 247 Park L.B.S. Marg, Vikhroli West, Mumbai 400 083 Maharashtra, India Tel: +91 22 4918 6200 E-mail: tmb.ipo@linkintime.co.in Website: www.linkintime.co.in

Tamilnad Mercantile Bank IPO Lead Manager(s)

1. Motilal Oswal Investment Advisors Limited 2. SBI Capital Markets Limited 3. Axis Capital Limited

Tamilnad Mercantile Bank IPO FAQs

What is Tamilnad Mercantile Bank IPO? Tamilnad Mercantile Bank IPO is a main-board IPO. The issue is priced at ₹500 to ₹525 per equity share. The IPO is to be listed on BSE & NSE.

When Tamilnad Mercantile Bank IPO will open? The IPO is to open on 05 September 2022 for QIB, NII, and Retail Investors.

What is Tamilnad Mercantile Bank IPO Investors Portion? The investors’ portion for QIB-75%, NII-15%, and Retail 10%.

How to Apply the Tamilnad Mercantile Bank IPO? You can apply Tamilnad Mercantile Bank IPO via ASBA online via your bank account. You can also apply for ASBA online via UPI through your stock brokers. You can also apply via your stock brokers by filling up the offline form.

How to Apply the Tamilnad Mercantile Bank IPO through Angle One? Log in to Angle One Application with your credentials. Select the IPO. You will see the IPO Name “Tamilnad Mercantile Bank”. Click on Bid Button. Confirm your Application. Now go to your UPI App on Net Banking or BHIM App to Approve the mandate. Open Demat Account with Angle One.

How to Apply the Tamilnad Mercantile Bank IPO through 5 Paisa? Log in to 5 Paisa Application with your credentials. Select the IPO. You will see the IPO Name “Tamilnad Mercantile Bank”. Click on Bid Button. Confirm your Application. Now go to your UPI App on Net Banking or BHIM App to Approve the mandate. Open Demat Account with 5 Paisa.

How to Apply the Tamilnad Mercantile Bank IPO through Upstox? Log in to Upstox Application with your credentials. Select the IPO. You will see the IPO Name “Tamilnad Mercantile Bank”. Click on Bid Button. Confirm your Application. Now go to your UPI App on Net Banking or BHIM App to Approve the mandate. Open Demat Account with Upstox.

How to Apply the Tamilnad Mercantile Bank IPO through IIFL? Log in to IIFL Application with your credentials. Select the IPO. You will see the IPO Name “Tamilnad Mercantile Bank”. Click on Bid Button. Confirm your Application. Now go to your UPI App on Net Banking or BHIM App to Approve the mandate. Open Demat Account with IIFL.

What is Tamilnad Mercantile Bank IPO Size? Tamilnad Mercantile Bank IPO size is ₹₹831.6 crores.

What is Tamilnad Mercantile Bank IPO Price Band? Tamilnad Mercantile Bank IPO Price Band is ₹500 to ₹525.

What is Tamilnad Mercantile Bank IPO Minimum and Maximum Lot Size? The minimum bid is 28 Shares with ₹14,700 amount while the maximum bid is 364 shares with ₹1,91,100.

What is the Tamilnad Mercantile Bank IPO Allotment Date? Tamilnad Mercantile Bank IPO allotment date is 12 September 2022.

What is the Tamilnad Mercantile Bank IPO Listing Date? Tamilnad Mercantile Bank IPO listing date is 15 September 2022. The IPO is to list on BSE and NSE.