ESAF Small Finance Bank Limited has successfully completed a significant debt capital raising exercise through the allotment of non-convertible debentures worth ₹150.00 crores. The bank's Allotment Committee of Executives approved this strategic financing initiative on January 23, 2026, at 2:45 P.M., marking an important milestone in the bank's capital management strategy.

Debenture Allotment Details

The allotment comprises 15,000 non-convertible debentures, each carrying a face value of ₹1,00,000.00. These instruments are structured as listed, rated, taxable, unsecured, transferable, redeemable, fully paid-up Basel II compliant lower Tier II subordinated bonds issued on a private placement basis.

Interest and Tenure Structure

The debentures offer attractive terms for investors with a fixed coupon rate of 11.65% per annum. The interest payment follows a quarterly schedule, providing regular income streams for debenture holders. The instruments carry a tenure of 73 months from the allotment date, with redemption scheduled at maturity on February 23, 2032.

Listing and Compliance Framework

The non-convertible debentures are proposed to be listed on the Negotiated Trade Reporting Platform under New Debt Market (NTRP) of the National Stock Exchange of India Limited. This listing will provide liquidity options for investors and enhance the tradability of the instruments. The issuance complies with Basel II norms as lower Tier II subordinated bonds, strengthening the bank's regulatory capital position.

Regulatory Disclosure

ESAF Small Finance Bank Limited has fulfilled its disclosure obligations under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The bank communicated the allotment details to both BSE Limited and National Stock Exchange of India Limited, ensuring transparency and regulatory compliance. The debentures carry no special rights, interests, or privileges, and are structured as standard debt instruments with redemption at maturity.

This successful debenture allotment represents ESAF Small Finance Bank's continued access to debt capital markets and its ability to raise funds through diversified financing channels. The proceeds from this issuance will support the bank's business operations and growth initiatives while maintaining compliance with regulatory capital requirements.

ESAF Small Finance Bank Limited has allotted 31,391 equity shares to eligible employees under its Employee Stock Option Scheme 2019, as announced on January 7, 2026. The allotment was approved by the bank's Nomination, Remuneration and Compensation Committee in compliance with SEBI regulations.

Share Allotment Details

The bank allotted shares to employees who exercised their vested options under the ESAF Employee Stock Option Plan 2019. The allotment took place at 9:30 A.M. on January 7, 2026, following regulatory requirements under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Post-Allotment Capital Structure

Following this ESOP allotment, ESAF Small Finance Bank's capital structure has been updated with the new share issuance. The allotted shares carry the same rights and privileges as existing equity shares of the bank.

Regulatory Compliance

The share allotment was conducted pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021. The bank filed the required statement under regulation 10(b) with stock exchanges on February 24, 2024, with filing numbers BSE: 195921 and NSE: 40258.

The newly allotted equity shares will rank pari-passu with existing equity shares of the bank and are identical in all respects to the current shares. No lock-in period applies to these shares, and no additional listing fees are payable for this allotment. The bank's shares are listed on both BSE Limited and National Stock Exchange of India Limited.