Shares of Equitas Small Finance Bank gained as much as 3% on June 24, after the lender announced a series of key board decisions, including a ₹1,750 crore capital raising plan, leadership reappointments, and senior management changes, while on June 25 the stock was trading lower. The stock was trading at ₹75.72 apiece on the NSE at 10:45 AM, down 1.71%.
Board Approves ₹1,750 Crore Capital Raising
At the board meeting which was held on June 24, 2026, the bank has passed enabling resolutions for raising capital through various methods, contingent upon the shareholder and regulatory approvals.
An enabling resolution has been passed by the bank regarding the issuance of rated, listed, unsecured, subordinated, and redeemable non-convertible debentures (NCDs)/bonds/other debt instruments in the private placement method for raising up to ₹500 crore.
Apart from that, the bank has also passed an enabling resolution for raising up to ₹1,250 crore through QIP and/or other permissible means of issuance, such as equity shares, warrants, or convertible securities, in one or more tranches.
CEO Reappointed for Another Three-Year Term
The board of directors approved the reappointment of Vasudevan P.N. as the Managing Director & CEO for another period of three years, from July 23, 2026, to July 22, 2029. The reappointment comes after getting approvals from the Reserve Bank of India, which is dated April 23, 2026.
Additionally, the bank approved the reappointment of Geeta Dutta Goel as the Independent Director for another period of three years, from December 27, 2026, to December 26, 2029, and is subject to shareholder’s approval.
CFO Transition Announced
An important development in the management of Equitas Small Finance Bank has been that of the retirement of the Chief Financial Officer and Key Managerial Personnel N.Sridharan upon superannuation as on close of business hours on June 30, 2026.
Mukund Shyamrao Barsagade has been appointed as the new Chief Financial Officer and Key Managerial Personnel with effect from July 1, 2026.
Strong Q4 FY26 Performance
The fund raising comes on the heels of a strong Q4 FY26 performance. The bank recorded a net profit of ₹213 crore, which showed an increase of 406% YoY from ₹42 crore the previous year, and a 136% quarter-over-quarter growth.
Its Net Interest Income (NII) grew by 18.2% YoY from ₹829 crore to ₹980 crore. NIM for the bank stood at 7.29%, showing an improvement of about 57 basis points quarter-over-quarter.
It also saw improvement in asset quality during the quarter. Gross NPA ratio dropped to 2.60% from 2.75% in the previous quarter. Similarly, net NPA ratio dropped to 0.72% from 0.92% the previous quarter. Gross NPAs amounted to ₹1,135 crore, while net NPAs reduced to ₹306 crore from ₹354 crore.
Deposit Rate Revision and Stock Performance
Recently, Equitas SFB made changes in the rate of interest on FCNR(B) deposits and increased the rate to as much as 7.13% per annum for US Dollar FCNR(B) deposits having tenure of 3-5 years. This came after the introduction of the RBI’s special FCNR(B) swap facility to attract more NRIs.
The stock has been performing well in the past few months, where it has registered gains of 14% in the last month and 26% in six months. In terms of yearly gains, the stock is up by 16%. It has a 52-week high of ₹80.14, achieved on June 16, 2026, whereas its 52-week low is ₹50, reached on September 1, 2025.
