Manba Finance Ltd IPO

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.

Open Demat Account

50years

Manba Finance Ltd IPO Details

Details

Total Shares OfferedOffer to PublicRetail Max (Shares)Pre Issue Promoters HoldingExchangeIssue size
₹ 125.7 LTBA₹ 44 L₹ 376.64 LBSE₹ 150.84 Cr
IPO Open DateClose DateLot SizeMin InvestmentIssue TypeListing Date
23 Sep, 2425 Sep, 24125 ₹ 14,250 Book Building30 Sep, 24

Manba Finance Ltd IPO Dates

  • 23 Sep 2024

    Opening date

  • 25 Sep 2024

    Closing date

  • 26 Sep 2024

    Basis of
    Allotment

  • 26 Sep 2024

    Initiation of
    Refunds

  • 27 Sep 2024

    Credit of
    Shares

  • 30 Sep 2024

    Listing date

Details

SectorType
SectorFinance & Investments
Sub SectorNA
Issue TypeBook Building

Subscription Status

*Values are in Lakhs

Investor TypeSubscription TimesShares Offered*Shares Bid*
QIB59.42x6285000373448500
NII511.62x1885500964655750
Retail143.95x4399500633300625
Employee0x00
Total156.83x125700001971404875

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)FY23FY22FY21
Revenue from operations43.1425.4615.82
EBITDA47.6329.9119.61
PAT31.1815.219.43
Total Assets145.05127.2970.30
Share Capital37.6712.5612.56
Total Borrowings772.40614.59414.66
Operating Activities (Net Cash)35.6719.6613.22
Investing Activities (Net Cash)26.6718.360.08
Financing Activities (Net Cash)772.40614.59414.66
Net Cashflow124.93108.6350.04

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.

Get your FAQs right

Manba Finance Ltd's IPO offers shares for up to ₹ 0 L It begins on Sep 23, 2024 and ends on Sep 25, 2024.

The price of Manba Finance Ltd IPO ranges between ₹114 to ₹120 per share.

The Manba Finance Ltd IPO opens on Sep 23, 2024 and closes on Sep 25, 2024.

The allotment for the Manba Finance Ltd IPO will be finalised on Sep 26, 2024. The shares will be listed on BSE and NSE on Sep 30, 2024.

The minimum lot size for Manba Finance Ltd IPO is 125 shares, priced between ₹114 to ₹120 per share.

The GMP (Grey Market Premium) of Manba Finance Ltd IPO fluctuates based on market demand and sentiment.

To check the allotment status of Manba Finance Ltd IPO, visit the registrar's website, select the IPO, enter your PAN Card number, Application Number, or DP Client ID, and click 'search.'

The Manba Finance Ltd IPO is getting listed on the BSE and NSE. Bidding opens on Sep 23, 2024, and closes on Sep 25, 2024. The allotment is finalised on Sep 26, 2024.

To apply for the Manba Finance Ltd IPO, download the BlinkX app, complete KYC, select the IPO, enter bid details, and submit. Verify UPI payment for shares allotment.