Manba Finance IPO: The initial public offering (IPO) of Manba Finance opens for public subscription today. The company seeks to raise Rs 150.84 crore from the public issue by offering an entirely fresh issue of 12,570,000 shares.
Manba Finance IPO is available at a price band of Rs 114-116, with a lot size of 125 shares. Accordingly, investors can bid for a minimum of 125 shares and in multiples thereof. The minimum amount that a retail investor requires to bid for a Manba Finance IPO is Rs 15,000. Meanwhile, to invest in sNII, the minimum requirement is 14 lots, equivalent to 1,750 shares, with an investment value of around Rs 210,000. For bNII, the minimum investment is significantly higher, requiring 67 lots or 8,375 shares, totaling approximately Rs 1,005,000.
Adding to the buzz, the unlisted shares of Manba Finance are commanding a strong premium in the grey market ahead of its opening, underscoring positive market sentiments among investors for the IPO. According to sources tracking grey market activities, shares of Manba Finance are trading at a premium of around Rs 60, which translates to a GMP of 50 per cent against the upper end of the issue price of Rs 120.
Manba Finance intends to utilise the net proceeds from the IPO towards augmenting the capital base to meet the company’s future capital requirements.
Link Intime India is the registrar for Manba Finance IPO, while Hem Securities is the book-running lead manager of the public issue.
The subscription window to bid for the Manba Finance IPO closes on Wednesday, September 25, 2024. Following that, the basis of allotment of Manba Finance shares is likely to be finalised on Thursday, September 26, 2024, and subsequently, the company’s shares are expected to be credited into demat accounts on Friday, September 27, 2024.
Manba Finance shares are likely to make their debut on the bourses on Monday, September 30, 2024, by listing at BSE, and NSE.
Manba Finance IPO review
Should you subscribe to Manba Finance IPO?
Swastika Investmart – Subscribe with caution
Analysts at Swastika Investmart have recommended that investors with a high-risk tolerance may consider applying for the Manba Finance IPO. The brokerage, in its report, said that the company has demonstrated robust growth in revenue, NIM, and other positive financial metrics. According to them, the Manba Finance IPO’s valuation is fully priced. “However, careful consideration of the company’s size and potential risks and market volatility is essential,” said Swastika Investmart.
SMIFS – Subscribe for long term
BP Equities – Subscribe for medium to long-term
The brokerage firm BP Equities has assigned a Subscribe rating for Manba Finance IPO with a medium to long-term investment perspective. According to the brokerage, the current issue is priced at a P/BV of 2.3x based on FY24 book value, indicating a fair valuation. BP Equities believes that with its strategic focus on customer satisfaction and innovative products, Manba Finance is well-equipped to meet evolving market needs.
About Manba Finance
Manba Finance is a Non-Banking Financial Company-Base Layer (NBFC-BL) providing financial solutions for new two-wheelers (2Ws), three-wheelers (3Ws), electric two-wheelers (EV2Ws), electric three-wheelers (EV3Ws), used cars, small business loans, and personal loans. Based in Mumbai, Maharashtra, with 66 locations connected to 29 branches across six states in western, central, and north India.
First Published: Sep 23 2024 | 8:59 AM IST
