Manba Finance IPO Opening Soon
The highly anticipated public offering of Manba Finance, a non-banking finance company, is set to open on September 23, 2024. Ahead of the IPO launch, the company made significant strides by raising ₹45.25 crore from eight institutional investors on September 20, 2024. Notably, Chartered Finance and Leasing emerged as the anchor investor, purchasing 8.33 lakh shares for ₹10 crore. Other prominent investors include FinAvenue Capital Trust, Antara India Evergreen Fund, Belgrave Investment Fund, Meru Investment Fund, NAV Capital VCC, Rajasthan Global Securities, and Vikas India EIF I Fund, each acquiring 4.2 lakh shares.
IPO Details
Manba Finance has finalized the allocation of 37.71 lakh shares to these anchor investors at a price of ₹120 per share. The company aims to raise an impressive ₹150.84 crore from this IPO.
Price Band and Lot Size
| Parameter | Details |
|---|---|
| Price Band | ₹114 – ₹120 per share |
| Lot Size | 125 shares |
| Issue Closing Date | September 25, 2024 |
| Expected Listing Date | September 30, 2024 |
The IPO will consist of the issuance of 1.26 crore new shares, and once the subscription period ends, the shares will be listed on the BSE and NSE.
Company Overview
Manba Finance specializes in offering small business loans and personal loans, alongside financial solutions for a wide range of vehicles including new two-wheelers, three-wheelers, electric two-wheelers, electric three-wheelers, and used cars. The company is promoted by a group of corporate entities, including Manba Investments & Securities Private Limited, Avalon Advisory & Consultant Services Private Limited, Manba Fincorp Private Limited, Manba Infotech LLP, and Manish Kiritkumar Shah (HUF).
Strong Financial Performance
In terms of financial performance, Manba Finance has demonstrated remarkable growth. The company’s revenue surged by 44% to ₹191.63 crore for the fiscal year 2024, compared to ₹133.32 crore in the previous year. Additionally, net profit witnessed an exceptional increase of 90%, rising to ₹31.42 crore from ₹16.58 crore in FY23.
Market Sentiment and Expected Listing Price
In the grey market, Manba Finance’s shares are currently trading at a premium of ₹60, indicating a potential listing price of ₹180, which is 50% above the upper price band of ₹120. The grey market operates as an unofficial trading platform for shares before they are officially listed on the exchanges.
Investment Considerations
While the IPO show strong potential for profitability, investors are advised to exercise caution and consider market risks before making any investment decisions. Conduct thorough research and, if necessary, consult with a financial advisor to ensure informed investment choices.
Disclaimer: This article is for informational purposes only and should not be considered as investment advice. All investments are subject to market risks. Please consult with an expert before making any financial decisions.
