Manba Finance Ltd IPO
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Manba Finance Ltd IPO Details
Details
Total Shares Offered | Offer to Public | Retail Max (Shares) | Pre Issue Promoters Holding | Exchange | Issue size |
---|---|---|---|---|---|
₹ 125.7 L | TBA | ₹ 44 L | ₹ 376.64 L | BSE | ₹ 150.84 Cr |
IPO Open Date | Close Date | Lot Size | Min Investment | Issue Type | Listing Date |
23 Sep, 24 | 25 Sep, 24 | 125 | ₹ 14,250 | Book Building | 30 Sep, 24 |
Manba Finance Ltd IPO Dates
Details
Sector | Type |
---|---|
Sector | Finance & Investments |
Sub Sector | NA |
Issue Type | Book Building |
Subscription Status
*Values are in Lakhs
Investor Type | Subscription Times | Shares Offered* | Shares Bid* |
---|---|---|---|
QIB | 59.42x | 6285000 | 373448500 |
NII | 511.62x | 1885500 | 964655750 |
Retail | 143.95x | 4399500 | 633300625 |
Employee | 0x | 0 | 0 |
Total | 156.83x | 12570000 | 1971404875 |
Subscription Status
Investor Type
QIB
NII
Retail
Employee
Total
*Values are in Lakhs
Manba Finance Ltd Financial Status
Income Statement
Balance Sheet
Particulars (in Rs. Crores) | FY23 | FY22 | FY21 |
---|---|---|---|
Revenue from operations | 43.14 | 25.46 | 15.82 |
EBITDA | 47.63 | 29.91 | 19.61 |
PAT | 31.18 | 15.21 | 9.43 |
Total Assets | 145.05 | 127.29 | 70.30 |
Share Capital | 37.67 | 12.56 | 12.56 |
Total Borrowings | 772.40 | 614.59 | 414.66 |
Operating Activities (Net Cash) | 35.67 | 19.66 | 13.22 |
Investing Activities (Net Cash) | 26.67 | 18.36 | 0.08 |
Financing Activities (Net Cash) | 772.40 | 614.59 | 414.66 |
Net Cashflow | 124.93 | 108.63 | 50.04 |
Particulars (in Rs. Crores)
Revenue from operations
EBITDA
PAT
Total Assets
Share Capital
Total Borrowings
Operating Activities (Net Cash)
Investing Activities (Net Cash)
Financing Activities (Net Cash)
Net Cashflow
About Manba Finance Ltd
Manba Finance Limited was originally incorporated as `Manba Finance Private Limited', a private limited company under the Companies Act, 1956 at Mumbai, Maharashtra, pursuant to a certificate of incorporation dated May 31, 1996, issued by the Registrar of Companies, Maharashtra at Mumbai (RoC). Thereafter, the Company was converted into a public limited company pursuant to a special resolution passed by its Shareholders as on January 31, 2005 and consequently, the name of the Company was changed to `Manba Finance Limited'. A fresh certificate of change of name, consequent upon conversion to a public limited company was issued by RoC on January 31, 2005. The RBI granted a certificate of registration dated April 7, 1998 to the Company, under its erstwhile name `Manba Finance Private Limited' for registration as a NBFC under Section 45-IA of the Reserve Bank of India Act, 1934 (RBI Act). Subsequently, the RBI granted a revised certificate of registration dated January 27, 2022, to carry on business of non-banking financial institutions without accepting public deposits.
CRISIL MI&A expects domestic two-wheeler sales to record a compound annual growth rate (CAGR) of 8-10% from fiscal 2024 to fiscal 2027 post a robust recovery in fiscal 2023 and fiscal 2024. Scooters are expected to witness higher penetration in the rural market (scooters have an urban market share of ~65-75%) which will drive growth. The consumer preference shifting towards higher `cc' scooters (125cc) is also likely to aid demand. Further, CRISIL MI&A expects two-wheeler disbursements to grow at 14-16% CAGR from fiscal 2024 to 2027, driven by recovery in scooter sales with improvement in urban sentiments along with increase in two-wheeler EV penetration and improving rural infrastructure.
Manba Finance Limited is a Non-Banking Financial Company - Base Layer (NBFC-BL) regulated by the Reserve Bank of India (RBI) providing financial solutions for New two-wheeler (2Ws), three wheeler (3Ws), electric two wheeler (EV2Ws), electric three wheeler (EV3Ws), Used Cars, Small Business Loans and Personal Loans with an AUM size of more than Rs. 90,000 lakhs as on March 31, 2024. About 97.90% of its loan portfolio comprises of New Vehicle Loans with an average ticket size (ATS) of around Rs. 80,000 for two-wheeler loans and an average ticket size (ATS) of around Rs. 1,40,000 for three-wheeler loans. The Company provides financial solutions to its target customers who are looking for a quick turnaround time (TAT) for loan sanction and disbursement. The Company is based out of Mumbai, Maharashtra and operates out of 66 Locations connected to 29 branches across six (6) states in western, central and north India. The COmpany has established relationships with more than 1,100 Dealers, including more than 190 EV Dealers, across Maharashtra, Gujarat, Rajasthan, Chhattisgarh, Madhya Pradesh and Uttar Pradesh. As on the date of the red herring prospectus, the company does not have any subsidiary, associate and holding company.
Peer Comparison:
- Baid Finserv Ltd
- Arman Financial Services Ltd
- MAS Financial Services Ltd
Manba Finance Ltd IPO Key Points
Strengths
- Established relationships with more than 1100 Dealers.
- Ability to expand to new underpenetrated geographies (currently present in 66 locations spread across six states in western, central and north India).
- Access to diversified and cost-effective long-term borrowing.
- Technology drive and scalable operating model with quick Turn Around Time (TAT) for loan processing (5.30 days as of March 31, 2024).
- Wide collections infrastructure and processes leading to maintenance of the Company's asset quality.
Risk
- Its business and future prospects could get adversely affected if the company is not able to maintain relationships with its Dealers from whom the company derive significant portion of its New Vehicle Loans business.
- New Vehicle Loans constitute 97.90% of its AUM. Lack of diversity in its loan products may affect the company's growth, prospects and financial condition.
- Any downgrade in its credit ratings could increase the company borrowing costs, affect its ability to obtain financing, and adversely affect the company's business, results of operations and financial condition.
Strategy
- Increasing penetration in existing markets and diversifying into new markets.
- Continue focus on vehicle finance and the growing 2Ws/3Ws/EV2Ws/EV3Ws market.
- Diversifying its portfolio into Used Car Loans, Small Business Loans and Personal Loans.
- Leveraging its existing Branch and location setup by adding new products.
- Continue to invest in technology and digitization initiatives to enhance its operating model and improve customer experience.
- Established relationships with more than 1100 Dealers.
- Ability to expand to new underpenetrated geographies (currently present in 66 locations spread across six states in western, central and north India).
- Access to diversified and cost-effective long-term borrowing.
- Technology drive and scalable operating model with quick Turn Around Time (TAT) for loan processing (5.30 days as of March 31, 2024).
- Wide collections infrastructure and processes leading to maintenance of the Company's asset quality.
How To Apply for Manba Finance Ltd IPO Online?
Step 1:
Log in to the BlinkX stock market app and click ‘IPO’ in the Xplore section.
Step 2:
From the list of open IPOs, select the IPO you want to invest.
Step 3:
Go through the IPO details like lot size, price band, about the company, etc.
Step 4:
Click ‘Apply IPO’ to apply and enter the number of lots and bidding price along with your UPI ID.
Step 5:
Confirm your bid and accept the payment mandate sent to your UPI App for completing the IPO application.