SDF enters stock market with over 5,000 Sarvodaya societies islandwide

22 November 2021 12:00 am Views - 235

Sarvodaya Development Finance (SDF) is set to enhance the standing of over 5,000 Sarvodaya societies islandwide with its Rs.1 billion initial public offering (IPO) opening tomorrow (November 23).


With a track record spanning over six decades, Sarvodaya Shramadana Movement uplifts and empowers rural masses, has a strong brand presence and is a trusted name among all Sri Lankans. Capitalising on these attributes and the widespread network of solid, long-lasting relationships, SDF has successfully transformed into a young, tech-savvy financial services specialist providing a diverse product portfolio. 


Sarvodaya’s reach enables SDF to expand its coverage by utilising the over 5,000 legally independent village societies, which also includes    26 district centres, 500 community centres, 10 development education centres, 1,200 preschools, 3 peace resource centres and 12 Suwasetha children and adult care homes. 


SDF empowers underserved village entrepreneurs through a product range that has continuously evolved in line with changing customer needs to support the growth and development of its clientele. The portfolio currently includes micro loans, society loans, leasing, SME loans, asset-backed loans and deposit products. The client portfolio currently includes 57 percent female and 43 percent male entrepreneurs while 78 percent of the loan portfolio originates from outside the Western province. SDF currently has total assets of over Rs.9 billion and operates through a wide network of 51 customer service centres/branches, with nearly 500 employees servicing over 135,000 customers in total. 


Managed by NDB Investment Bank, SDF will offer up to 45,454,546 ordinary voting shares at a price of Rs.22.00 per share, resulting in a projected market capitalisation of Rs.3.29 billion assuming full subscription at the issue price.

Offering the IPO enables potentially interested investors in society to contribute to SDF’s on-going work on developing rural villages, echoing the age-old Sarvodaya goal of working together to achieve societal economic benefits.