₹ Now Listed at NSE & BSE


₹ Now Listed at NSE & BSE

Fairly Valued

Company Overview


Founded in 1921 as Nadar Bank Ltd, Tamilnad Mercantile Bank Ltd (TMB) is one of the oldest private sector banks of the country. The bank has regional concentration in Tamil Nadu as 76% of its total business comes from the single state of Tamil Nadu.

As on 31-March-2021, the bank has the largest lending exposure towards the MSME sector (39%), followed by Agri (28%), retail (20%) and wholesale (13%). The bank reported 3.77% net-interest margin (NIM), 18.94% CRAR, 28.52% CASA ratio, Gross NPA of 3.44% and Net NPA of 1.98%.  The bank had more than 509 branches and 70% of its branches were in rural and semi-urban areas while the remaining 30% were in metro and urban cities. 

As on 31-March-2021, the bank reported total outstanding equity shares of 14,25,11,454 of face value of Rs 10 each and the bank had no subsidiary and joint-venture. 

The bank declared following dividends to its equity shareholders in the recent past:

FY 2021: Nil 

FY 2020: Rs 3.20 per share

FY 2019: Rs 2 per share

FY 2018: Rs 3.20 per share

In its DRHP filed with SEBI, the bank disclosed that 37.61% of its shareholding is subject to outstanding legal proceedings and the bank is unable to convene its annual general meeting (AGM) without approval of Madras High Court. 

In June 2022, the bank got SEBI approval to launch its IPO. As per DRHP filed, the offer was for fresh equity of 1.58 crores equity shares and offer for sale (OFS) of upto 12,505 equity shares. 


Registered Office

The registered office of the company is located at No. 57, Victoria Extension Road, Thoothukudi, Tamil Nadu.

Symbol:TMB Bank Ltd
Face Value (₹):10
Demat Status:NSDL & CDSL BOTH
Lot Size:

Board of Directors:

Mr. K. V. Rama MoorthyMD & CEOlinkedin
Mr. S. AnnamalaiDirectorNA Final 1
Mr. S. R. AshokAdditional DirectorNA Final 1
Mr. P. C. G. Asok KumarDirectorNA Final 1
Ms. S. Ezhil JothiAdditional DirectorNA Final 1
Mr. N. GopalAdditional Directorlinkedin
Mr. B.S. Keshava MurthyIndependent DirectorNA Final 1
Mr. K. NagarajanAdditional DirectorNA Final 1
Mr. D.N. Nirranjan KaniAdditional Directorlinkedin
Ms. A. SivagamiAdditional DirectorNA Final 1
Mr. B. VijayaduraiDirectorNA Final 1

Key Highlights

  • Total Business witnessed growth of 4.68% to Rs. 65,061.21 Crs.
  • Total Deposit increased by 4.81% to Rs. 36,825.03 Crs and Total Advances increased by 4.51% to Rs. 28,236.18 Crs.
  • Gross NPA dropped to 3.62% and NPA dropped to 1.8%. Provision coverage ratio increased 80.75%.

Financial Highlights

Total Income (₹ Crores) 4656.434253.403992.533638.803756.61
PAT (₹ Crores) 821.91603.33407.69258.58221.92
Diluted EPS 57.6742.3428.6118.1415.57
Book Value per Share (₹) 374.41321.38279.25253.89238.91
Equity (₹ Crores) 5335.714579.983979.653618.263404.79

Financial Charts

Chart by Visualizer
Chart by Visualizer
Chart by Visualizer
Chart by Visualizer

Historical Charts


Shareholding Pattern

As per the court’s order TMB Bank Ltd is set to hold its 2nd sequel meeting on 9th April, 2020 (including 94th to 97th AGMs). TMB management is going to make a second appeal / proposal seeking shareholders’ approval to give a go ahead for IPO in its AGM to be held on 9th April, 2020.IPO shall benefit TMB by raising additional funds needed for faster growth of the bank and shall help to raise the value of shares thereby giving shareholders an easy exit route which is currently not available.

Read More: http://www.rareindianshare.info/2020/03/tmb-bank-ltd-to-seek-shareholders.html

Latest Share Price of Unlisted Tamilnadu Mercantile Bank Ltd (TMB) as on Dec 2, 2020 :


Historical Share Price of Unlisted Tmb :

Oct 2020 : 340-370

Nov 2020 : 370-470


Peer Comparison

CompanyMarket Cap (₹ Crores)Profitability Margin (%)ROCE (%)ROE (%)D/E RatioP/E RatioP/B RatioBook Value per Share (₹)
TMB LTD7909.3914.18%18.44%14.10%9.0713.111.73321.38
AU SMALL FINANCE BANK LTD4135223.64%4.37%18.65%0.8032.156.10200.99
HDFC BANK LTD75869124.78%3.57%15.17%0.9225.813.92380.59

Media Updates


Total Business has grown by 12% over last year to Rs. 72040 crs in FY 2021.

Deposits and Advances has also grown by 11% and 12% respectively compared to FY 2020. Deposits stands at Rs. 40970 Crs and Advances Rs. 31069 Crs in FY 2021.

Total Income has grown by 7% to Rs. 4253 Crs in FY 2021.

PAT stands at Rs. 603 Crs with 48% hike compared to previous year.

Read More : https://www.tmb.in/doc/Balance-sheet-2020-21_website.pdf


The Tamilnad Mercantile Bank (TMB), which will turn 100 this year, plans to come up with an initial public offering (IPO) of about Rs 1,000 crore to Rs 1,300 crore by the end of this fiscal.

The bank plans to dilute 10% of its shareholdings via IPO.

TMB will file the necessary IPO papers with the Securities and Exchange Board of India (SEBI) in 8-10 weeks time.

Read More: https://www.business-standard.com/article/markets/tamilnad-mercantile-bank-plans-ipo-of-up-to-rs-1-200-crore-this-fiscal-121042700767_1.html


The Madras High Court (HC) has revealed that Tamilnad Mercantile Bank’s (TMB) initial public offering (IPO) resolution has been passed, including the election of its directors. All the resolutions — submitted to the court in a sealed cover — were passed with more than one third of the votes polled.

Madras High Court stated nearly 75 per cent of the shareholders approved the IPO. The bank’s former chairman and director S Annamalai and others have confirmed the development and expect TMB to be listed within the next 12 months.

The IPO will also help enhance visibility, aid customer acquisition, provide liquidity to existing shareholders, increase the ability to raise affordable capital faster, and enhance brand and corporate value. The IPO will also strengthen the bank’s capital adequacy ratio (CAR) and help it to expand its branches.

Read More:https://www.business-standard.com/article/companies/tamilnad-mercantile-bank-shareholders-vote-for-ipo-reveals-madras-hc-120110401355_1.html

Latest Price

Latest Share Price of Tamil Nadu Mercantile Bank is:

Frequently Asked Questions

The buying and selling of unlisted shares and pre-IPO shares is fully legal and valid. 

The procedure to buy the Tamilnad Mercantile Bank unlisted shares is fairly simple. Once you have settled on the price and quantity of the transaction, you would have to transfer the funds into the bank account of the seller. 

When the funds are transferred and transaction details are shared with the seller, your demat account will be credited with the shares either on the same day of the fund transfer or before the end of the next working day. 

In the secondary market, the transactions related to unlisted shares take place with the existing owners of the shares who are generally the employees or existing investors in the company. The company itself is not directly involved.  


The TMB shares will get credited either the same day or before the end of the next working day when you transfer the funds into our bank account.

The minimum lot size varies on the basis of market conditions and demand and supply factors. To know the current lot size for Tamilnad Mercantile Bank unlisted shares, please visit the stock page on our website: www.delistedstocks.in  

There are many factors which influence the pricing of unlisted shares. Apart from the supply and demand factors, the latest transactions happened on the same stock, last funding round of the company, and valuation level of companies of the similar size affect the pricing of the unlisted shares. 

Before IPO, there is no restriction on sale and transfer of your TMB unlisted shares. 

But once the shares are listed on the stock exchange, for retail investors, there is a minimum lock-in period 6 months after listing on the stock exchange.  

Once the selling price and quantity of shares is agreed with us, we will provide you with an UTR number to transfer the shares. Once you have transferred the shares into our company’s demat account, funds are released into your bank account within 24 hours or before the end of the next working day of the transfer of the shares. 

If your holding period is less than 2 years, then such income is treated as business income and liable to get taxed as per tax slab of the investor. 

If your holding period is more than 2 years, then your profits would be subject to long-term capital gains tax. The current short-term capital gain tax rate is 20% after indexation.

The trading in unlisted shares is governed by Securities & Contract (Regulation) Act, which comes under the preview of SEBI.  The SEBI regulations become applicable when the stocks of the company get listed on the stock exchange. There is a minimum lock-in period of 6 months for pre-IPO investors. 

The major risk associated with investing in unlisted stocks is the liquidity risk. The possible exit route for investors is either to sell to another investor or wait till the company gets listed on the stock exchange. 

Yes, NRI’s can also buy and sell TMB unlisted shares just like domestic investors. But their investment is on a non-repatriable basis. 


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