The IPO price range has been fixed at Rs 114-120 per share.
The IPO is a fresh issue of up to 1,25,70,000 equity shares without any offer element. The total size of the issue of Rs 151 crore has been calculated based on the price of the upper band.
The Company intends to use the proceeds from the new share issuance to expand its capital base and meet future capital requirements.
The share issuance will be conducted through a buy-in process, whereby 50% of the total issuance will be allocated to Qualified Institutional Investors (QIBs), no less than 15% to Non-Institutional Investors (NIIs), and no less than 35% to retail investors.
The Mumbai-headquartered company provides financial solutions to both salaried and self-employed individuals, offering fast turnaround time (TAT) for loan approval and disbursement. In FY2024, Manba Finance had the highest share in two-wheeler loans, accounting for 92% of the assets under management (AUM). It also ranked third in terms of AUM per branch at Rs 14.41 crore, behind companies such as Arman Financial, Baid Finserv, Berar Finance, Hero Fincorp, MAS Financial, Muthoot Fincorp and TVS Credit. Manba Finance recorded the fastest branch growth at a CAGR of 40.3% from FY2022 to FY2024. Manba Finance’s AUM is expected to grow from Rs 49.582 crore in FY2022 to Rs 93.685 crore in FY2024, growing at a CAGR of 37.46%.
The company posted a profit of Rs 31.41 billion in FY24, up 89.50% from Rs 16.58 billion in the previous year. Revenue for FY24 grew significantly to Rs 19.158 billion from Rs 13.332 billion in FY23, mainly due to increased interest income.
Manba Finance is planning to list its shares on BSE and NSE. Hem Securities is the sole lead manager and Link Intime India is the registrar for the issue.
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