Judo Bank, an Australian challenger bank focused on lending to small and medium-sized businesses, aims to raise around A $ 653 million, or around $ 477 million, when it goes public (IPO) in Sydney, according to a Bloomberg report on Sunday (Oct. 10). The company expects a listing of A $ 2.3 billion (around $ 1.7 billion).
Documents seen by the media reveal that Judo Bank is selling 311.1 million shares at $ 2.10 per share, and the company has already secured commitments from investors to purchase shares worth 515 $ A (approximately $ 376 million), leaving A $ 135 million. to grab.
On Tuesday, October 5, it was reported that IPOs were on hold as a volatile stock market aroused investor suspicion. Over-saturation of transactions is another factor in which at least eight European companies are withdrawing their IPOs.
Some companies listing their IPOs do so at steep valuation declines, as reported by PYMNTS. KakaoBank Corp. announced in July that it would raise $ 2.2 billion after valuing its IPO at the top of the marketed range. However, at the end of August, the company announced that it would reduce its valuation.
See also: Market instability leads to suspended IPOs
On the flip side, a PYMNTS report released on Friday, October 8 noted that in the past few days, the number of payments-related announcements has grown to 32 registrations, the banking industry stands at 54, and companies targeting to improve work flow amounted to 42..
Related News: Fintech-centric PSPCs and Platform IPOs Dominate First Week of October
For its part, Judo Bank achieved unicorn status in May 2020, after the challenger bank received $ 148 million in a Series C funding round from investors, 10 months after it was able to raise $ 261.6 million. dollars in a Series B round, and only weeks since he was able to secure $ 322 million in government loan financing, intended for businesses to keep themselves afloat during the coronavirus pandemic.
Read more: Judo Bank, a lender focused on SMEs, obtains unicorn status