Manba Finance Ltd IPO

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.