Micro-finance lender Spandana Sphoorty Financial on Friday said it has raised 360.28 crore from 18 anchor investors by allotting 42,08,886 shares at a price of Rs 856, the upper band of its initial public offer that opens on August 5.

Among the 18 anchor investors, Wells Fargo Emerging Markets Equity Fund, Goldman Sachs India Ltd, ICICI Prudential Life Insurance Company and Bajaj Allianz Life Insurance Company have been allotted about 4.40 lakh shares each.

The other anchor investors include BNP Paribas Arbitrage, Citigroup Global Markets, among others.

On Wednesday, the Hyderabad-based micro-finance lender said it will launch its initial public offer on August 5 in a price band of Rs 853-856 per share to raise about Rs 1,200 crore. The offer consists of a fresh issue of up to Rs 400 crore and an offer for sale of up to 93,56,725 equity shares, the company said in a statement. The offer will close on August 7, 2019.

The net proceeds from the fresh issue are proposed to be utilised towards augmenting the company's capital base to meet future requirements and general corporate purposes, it added.

Axis Capital, ICICI Securities, IIFL Securities, JM Financial, IndusInd Bank and Yes Securities will manage the offer. The equity shares of the the firm are proposed to be listed on the BSE and NSE.

The company offers income generation loans under the joint liability group model, predominantly to women from low-income households in rural areas.

Started in 1998, by Mrs. Padmaja Reddy, as an NGO Society (Spandana Urban and Rural development Organisation – SURDO), Spandana formalized itself into an NBFC (SSFL) and reclassified as NBFC-MFI effective April 13, 2015.

Spandana follows both the group based and the individual micro-credit lending model wherein both the models, the loans are given to individuals based on their household economics. Besides micro-credit, it has other products – like – Farm Equipment, loans against Gold jewellery etc.

In 2003, Spandana grew to the largest Micro finance Institution in India and 6th largest across globe. In its peak, Spandana had 1,856 Branches with presence in 10 states and work force of over 13,500 employees.

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