Manba Finance is scheduled to hit the market on September 23, 2024 and close on September 25, 2024. Manba Finance plans to raise around ₹150.84 Cr through an IPO with a sale of up to 12,570,000 equity shares of ₹10 each. The Retail offered 35%, QIB Shares Offered 50%, HNI Shares Offered 15%.
Manba Finance Limited, founded in 1998, is a non-banking finance company that provides various financial services. They offer loans for new two-wheelers, three-wheelers, electric two-wheelers, electric three-wheelers, used cars, small businesses, and personal needs. Their main customers are employees and self-employed individuals. The company usually finances up to 85% of the on-road price of the vehicle, expecting customers to pay the rest.
The company has branches in urban, semi-urban, and metropolitan areas, catering to nearby rural regions as well. They have built strong partnerships with over 1,100 dealers, including more than 190 electric vehicle dealers across states like Maharashtra, Gujarat, Rajasthan, Chhattisgarh, Madhya Pradesh, and Uttar Pradesh. As of March 31, 2024, Manba Finance Limited has a workforce of 1,344 employees.
Manba Finance IPO Details
Manba Finance IPO opens on September 23, 2024, and closes on September 25, 2024. The Listing date for Manba Finance IPO is on September 30, 2024. The price band for IPO is ₹114 to ₹120 per share and lot size of 125 Shares.
| IPO Date | September 23, 2024 to September 25, 2024 |
| Listing Date | September 30, 2024 |
| Price | ₹114 to ₹120 per share |
| Lot Size | 125 Shares |
| Issue Size | ₹150.84 Cr |
| Face Value | ₹10 per share |
Manba Finance IPO Tentative Timetable
Manba Finance opening date is September 23, 2024 and close date is September 25, 2024. The IPO allotment date is September 26, 2024. Therefund initiation of IPO is on September 26, 2024. The credit of shares in demat account is on September 27, 2024. The listing date is on September 30, 2024.
| Event | Date |
|---|---|
| IPO Opening | September 23, 2024 |
| IPO Closing | September 25, 2024 |
| IPO Allotment Date | September 26, 2024 |
| Refund Initiation | September 26, 2024 |
| Shares Credit to Demat | September 27, 2024 |
| Lisiting Date | September 30, 2024 |
Manba Finance IPO Lot Size
Lot Size of this IPO is 125 shares. A retail-individual investor can apply for up to 13 lots (1625 shares or ₹195,000).
| Category | Lots | Shares | Amount |
|---|---|---|---|
| Retail(Minimum) | 1 | 125 | ₹15,000 |
| Retail(Maximum) | 13 | 1625 | ₹195,000 |
| S-HNI (Minimum) | 14 | 1,750 | ₹210,000 |
| B-HNI (Minimum) | 67 | 8,375 | ₹1,005,000 |
Manba Finance IPO Promoter Holding
| Pre Issue Share Holding | 100% |
| Post Issue Share Holding |
Manba Finance IPO Review
The company is launching its first IPO through a book building process, offering 12,570,000 new shares worth Rs. 150.84 crore at the highest price.
On the financial performance front, for the last three fiscals, the company has posted a total income/met profit of Rs. 106.62 cr. / Rs. 9.74 cr. (FY22), Rs. 133.32 cr. / Rs. 16.58 cr. (FY23), and Rs. 191.63 cr. / Rs. 31.42 cr. (FY24).
For the last three fiscals, the company has reported an average EPS of Rs. 6.07, and an average RoNW of 12.18%. The issue is priced at a P/BV of 2.25 based on its NAV of Rs. 53.26 as of March 31, 2024, and at a P/BV of 1.72 based on its post-IPO NAV of Rs. 69.95 per share (at the upper cap).
If we attribute FY24 annualized earnings to its post-IPO fully diluted paid-up equity capital, then the asking price is at a P/E of 19.2. and based on FY23 earnings, the P/E stands at 36.36. The issue relatively appears fully priced.
The company reported PAT margins (to average AUM) of 1.90% (FY22), 2.94% (FY23), 4.00% (FY24), and RoCE margins of 6.42%, 9.84%, 15.66% for the referred periods, respectively. It has posted net interest margins of 9.28% (FY22), 12.31% (FY23), and 11.16% (FY24).
Company's net NPA has been at 4.30% (FY22), 3.14% (FY23), and 3.16% (FY24). According to the management, this is attributed to its financing JV with Muthoot group, but on standalone basis, the NPAs are just around 1%.
According to the offer document, the company has mentioned Baid Finserve, Arman Financial, and MAS Financial as its similar companies. As of September 18, 2024, their price-to-earnings (P/E) ratios are 18.7, 11.3, and 20.2, respectively. However, these companies are not really comparable in a straightforward way.
The company is a top financier for two and three-wheelers and has also started offering services for used cars, personal loans, and small business loans. It has shown consistent growth in both its revenue and profit over the past periods. Based on its earnings for FY24, the stock seems to be fully valued right now. Investors might consider investing for the long term.
Manba Finance IPO Subscription Status (Bidding Details)
Table not foundManba Finance IPO Broker Recommendations
- Capital Market: To be updated soon
- Anand Rathi: To be updated soon
- SMC Global: To be updated soon
- Arihant Capital: To be updated soon
Manba Finance IPO FAQs
What is Manba Finance IPO?
Manba Finance is issuing 12,570,000 equity shares with a face value of ₹10 each, totaling up to ₹150.84 Cr. The shares are being offered at a price of ₹114 to ₹120 each, with a minimum order quantity of 125 shares.
Link Intime India Private Ltd is the registrar for the IPO, and the shares are planned to be listed on the BSE and NSE.
When Manba Finance IPO will open?
Manba Finance will open on September 23, 2024 for QIB, NII, and Retail Investors.
When Manba Finance IPO will end?
Manba Finance will end on September 25, 2024.
What is Manba Finance IPO Size?
Manba Finance IPO size is ₹150.84 Cr.
What is Manba Finance IPO Price Band?
Manba Finance price band is ₹114 to ₹120 per share.
What is Manba Finance IPO Allotment Date?
Manba Finance allotment date is September 26, 2024.
What is Manba Finance IPO Listing Date?
Manba Finance listing date is September 30, 2024. The IPO is to be listed on BSE and NSE.
How to Manba Finance IPO through Zerodha?
To apply for the IPO “Manba Finance” on Zerodha, log in to the Zerodha website or app, go to the Portfolio section, and click on IPO. Then, click on the “Apply” button and enter your UPI ID, the desired quantity, and the price. Submit the IPO application form and then approve the mandate on your UPI app. To complete the process, you should have an demat account. If you don't have one, open a demat account with Zerodha.
How to Apply Manba Finance IPO through Upstox?
To apply for the IPO “Manba Finance” on Upstox, log in to the Upstox website or app, click on IPO. Then, click on the “Apply” button and enter your UPI ID, the desired quantity, and the price. Submit the IPO application form and then approve the mandate on your UPI app. To complete the process, you should have an demat account. If you don't have one, open a demat account with Upstox.
How to check Manba Finance IPO Allotment Status?
For Manba Finance IPO Allotment status check you can visit this link, select the desired IPO and enter your PAN to check the allotment status.
What is Manba Finance IPO GMP?
You can check out here: Manba Finance IPO GMP. Check all IPO GMP here.