Manba Finance Limited is coming up with an IPO with a fresh issue of 1.26 crore shares worth INR 150.84 crores. The company aims to augment its capital base to meet future capital requirements and growth objectives.
Manba Finance IPO – Important Dates
| Manba Finance Limited IPO Date | September 23, 2024 to September 25, 2024 |
| Manba Finance Limited IPO Listing Date | September 30, 2024 |
| Manba Finance Limited IPO Price | INR 114-120 per share |
| Manba Finance Limited IPO Lot Size | 125 Shares |
| Manba Finance Limited IPO Total Issue Size | INR 150.84 crores |
| Manba Finance Limited IPO Basis of Allotment | September 26, 2024 |
| Manba Finance Limited IPO Initiation of Refunds | September 26, 2024 |
| Manba Finance Limited IPO Credit of Shares to Demat | September 26, 2024 |
| Manba Finance Limited IPO Issue Type | Book Built Issue IPO |
| Manba Finance Limited IPO Listing At | BSE NSE |
Manba Finance Limited IPO – Company Profile
Manba Finance Limited is a Non-Banking Financial Company-Base Layer (NBFC-BL) offering financial solutions for new and electric two-wheelers, three-wheelers, used cars, small business, and personal loans, with an AUM exceeding ₹ 90,000 lakhs as of March 31, 2024.
Their target customers, primarily salaried and self-employed, benefit from customized loan schemes that fund up to 85% of the vehicle’s on-road price. This approach encourages customer equity contribution, ensures financial discipline, and reduces defaults.
Their centralized credit team evaluates loan applications based on credit data, using a robust credit, risk management, and collections framework. They approve 85% of loans the same day and ensure efficient collection through in-house processes.
Manba Finance Ltd IPO Fundamental Analysis
Manba Finance Limited’s financial analysis reveals a mixed performance. Revenue has steadily increased, along with equity and liabilities, while profitability, earnings per share, and return on net worth have also shown significant improvement.
- Revenue Trend: The revenue increased from ₹9,397.99 lakhs in March 2022 to ₹12,496.17 lakhs in March 2023. The revenue for the current year’s 12-month period ending March 2024 is INR 16,835.76 lakhs.
- Equity and Liabilities: Both equity and liability have shown a consistent increase over the periods, reflecting potential growth and expansion. However, the debt-equity ratio has increased, indicating rising reliance on debt financing.
- Profitability: The profit after tax (PAT) has significantly increased from ₹974.02 lakhs in March 2022 to ₹3,141.97 lakhs by March 2024. This improvement in profitability could be a source of confidence among investors.
- Earnings per Share (EPS): The diluted EPS has risen from ₹2.59 in March 2022 to ₹8.34 by March 2024, reflecting higher earnings per share for investors.
- Return on Net Worth (RoNW): The RoNW has risen from 6.42% to 15.66%, indicating an increase in the company’s ability to generate returns on shareholder equity.
- Financial Position: Total assets have increased, suggesting potential business growth. However, the current ratio has increased, indicating strengthening liquidity and potential challenges in meeting short-term obligations.
Manba Finance IPO Financial Analysis
| Particular | As of 31 March 2022 | As of 31 March 2023 | As of 31 March 2024 |
| Revenue (₹ in lakhs) | 9,397.99 | 12,496.17 | 16,835.76 |
| Equity (₹ in lakhs) | 15,174.38 | 16,843.13 | 20,060.75 |
| Expenses (₹ in lakhs) | 9,395.66 | 11,053.05 | 15,273.89 |
| Profit and Loss After Tax (₹ in lakhs) | 974.02 | 1,658.01 | 3,141.97 |
| Diluted EPS only (₹) | 2.59 | 4.40 | 8.34 |
| Return on Net Worth (%) | 6.42 | 9.84 | 15.66 |
| NAV per Equity Share (₹) | 40.28 | 44.71 | 53.26 |
| Total Assets (in lakhs) | 56,145.80 | 78,724.75 | 97,375.39 |
| Total Liabilities (in lakhs) | 40,971.42 | 61,881.62 | 77,314.64 |
| Debt Equity Ratio | 2.60 | 3.54 | 3.75 |
| Current Ratio (in times) | 3.99 | 11.25 | 15.78 |
Manba Finance Limited IPO Peer Comparison
Manba Finance Limited shows strong profitability in consolidated operations. Baid Finserv Limited maintains steady earnings in standalone services. Arman Financial Services excels with significant consolidated assets, while MAS Financial Services demonstrates robust growth and high return metrics.
| Company | Type of financial | Total Income (₹ in lakhs) | Face Value per Equity Share (₹) | P/E Ratio | EPS (Basic) (₹) | RoNW (%) | NAV per Equity Share (₹ in lakhs) | PAT (₹ in lakhs) |
| Manba Finance Limited | Consolidated | 19,163.22 | 10 | – | 8.34 | 15.66 | 53.26 | 3,141.97 |
| Baid Finserv Limited | Standalone | 6,635.83 | 2 | 13.65 | 1.08 | 7.75 | 13.89 | 1,292.40 |
| Arman Financial Services Limited | Consolidated | 66,152.77 | 10 | 8.57 | 195.00 | 21.36 | 775.70 | 17,357.28 |
| MAS Financial Services Limited | Consolidated | 1,28,568 | 10 | 18.13 | 15.31 | 14.25 | 108.71 | 25,401.00 |
Manba Finance Ltd IPO Objective
The main objective of Manba Finance Limited is to augment its capital base to meet future capital requirements and growth objectives.
Manba Finance IPO Risks And Challenges
Manba Finance Limited’s risk includes reliance on strong dealer relationships for customer acquisition, limited growth in new loan products, and potential impacts from credit rating downgrades, which could affect capital costs and overall business performance.
- As a Non-Banking Company, they provide tailored financial solutions for various vehicles, relying on solid dealer relationships for referrals. While they maintain efficient disbursement processes, non-exclusive arrangements pose risks to customer acquisition and dealer satisfaction.
- New Vehicle Loans account for 97.90% of the AUM, focusing on two and three-wheelers. While they’ve expanded into Used Car and Small Business Loans, their reliance on vehicle financing may limit growth in these new areas.
- Their credit ratings influence capital costs and availability. Any downgrade could raise borrowing costs, limit access to financing, and impose additional conditions on future arrangements, negatively impacting their business performance and financial results.
Manba Finance Ltd IPO – Industry & Market Potential
NBFCs are poised for significant growth in retail credit, expected to increase by 14-16% from Fiscal 2024 to 2027. This growth is driven by a focus on underserved segments, geographical penetration, and technological advancements in lending processes.
Two-wheeler sales are projected to grow by 9-10% in fiscal 2025, driven by recovering rural markets, healthy crop prices, increased urban incomes, pent-up demand, and the introduction of new electric scooter models, which will enhance overall demand.
Electric two-wheeler market penetration is expected to rise 6-8% in fiscal 2025, with significant adoption by urban scooter buyers. By fiscal 2029, electric scooters will offer lower ownership costs than ICE, enhancing competitiveness.
Manba Finance Limited IPO – Type of Offer
Manba Finance Limited is coming up with an IPO with a fresh issue of 1.26 crore shares worth INR 150.84 crores. The company aims to augment its capital base to meet future capital requirements and growth objectives.
Manba Finance IPO Offer Size
The offer size of Manba Finance Limited is INR 150.84 crores, consisting of a fresh issue of 1.26 crore shares. The company seeks funds to augment its capital base to meet future capital requirements and growth objectives.
Manba Finance Limited IPO Allotment Structure
Manba Finance Limited’s allocation will be as follows: 50% for Qualified Institutional Buyers (QIB), 15% for Non-Institutional Investors (NII), and 35% for Retail Individual Investors (RII) according to SEBI regulations.
● Qualified Institutional Buyers (QIB): As per SEBI regulations, 50% of the shares offered through the IPO will be reserved for Qualified Institutional Buyers. These include entities such as banks, mutual funds, and insurance companies.
● Non-Institutional Investors (NII): 15% of the shares will be reserved for Non-Institutional Investors. These typically include corporate bodies or individuals investing more than Rs.2 lakhs.
● Retail Individual Investors (RII): The remaining 35% of the shares will be allotted to Retail Individual Investors. These individual investors apply for shares with a total value of less than Rs.2 lakhs.
How to apply for Manba Finance IPO?
To apply for the Manba Finance Limited IPO through Alice Blue, follow these steps:
Open a Demat and Trading Account: If you don’t have one already, you must open a Demat and trading account with Alice Blue.
- Check for IPO Details: Once your account is active, you can check for the Manba Finance Limited IPO details in the IPO section of the Alice Blue platform.
- Place the Bid: Enter the number of shares you wish to buy and place your bid within the IPO’s price band.
- Submit the Application: Confirm all your details and submit your application.
You can apply for the Manba Finance Limited IPO at Alice Blue in just a few clicks!
Check Allotment Status: After the allotment process, you can check the allotment status to see if you have received any shares.
Please note that the allotment of shares is not guaranteed and will depend on the demand for the IPO.
How do you check Manba Finance IPO Allotment Status?
Checking the allotment status of an IPO in Alice Blue is usually straightforward. Please follow these general steps:
- Log in to your Alice Blue Account: You can do this through the Alice Blue website or the trading app.
- Navigate to the Portfolio or IPO Section: This might differ based on the layout of Alice Blue’s platform, but generally, you can find the status of your IPO application under the ‘Portfolio’ or ‘IPO’ section.
- Find the IPO Allotment Status: Look for a sub-section called ‘IPO Allotment Status’ or something similar. This is where you can see the status of the IPOs you have applied for.
- Select the Manba Finance Limited IPO: If you have applied for multiple IPOs, there might be a dropdown menu or a list where you can select the IPO you are interested in. Select the Manba Finance Limited IPO.
- Check the Status: The status of your application should be displayed here. If the shares have been allocated to you, it would be mentioned here.
If you face any issues, we request you to reach out to our customer support team at Alice Blue for detailed assistance.
Apart from Alice Blue, there are other ways to check the allotment status of the Manba Finance Limited IPO:
● Registrar’s Website: Visit the website of Link Intime India Private Limited, the registrar of the Manba Finance Limited IPO. On the homepage, look for the ‘IPO Allotment Status’ option. You must enter your PAN, application, or Demat account number to check your allotment status. Click on the ‘Submit’ button to view your IPO allotment status.
● BSE NSE: You can also check the allotment status on the official websites of the Bombay Stock Exchange (BSE) National Stock Exchange (NSE). You would need your application number and PAN to check the status.
Please note that the allotment status will only be available after completing the allotment process, a few days after the IPO window closes.
Manba Finance Ltd IPO Offer Registrar
The registrar for the Manba Finance Limited IPO is Link Intime India Private Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
Contact information for the registrar:
Link Intime India Private Limited
C- 101, 1st Floor, 247 Park, L.B.S Marg,
Vikhroli (West), Mumbai – 400083,
Maharashtra, India
Telephone: +91 810 811 4949,
Email: [email protected]
Website: www.linkintime.co.in
Manba Finance IPO – FAQs
1. What is the allotment date of the Manba Finance IPO?
The allotment date of the Manba Finance Limited IPO is September 26, 2024.
2. What is the price band of the Manba Finance IPO?
The price band of the issue is INR 114-120 per share.
3. What is the size of the Manba Finance IPO?
The offer size of Manba Finance Limited is INR 150.84 crores, consisting of a fresh issue of 1.26 crore shares. The company seeks funds to augment its capital base to meet future capital requirements and growth objectives.
4. What is the listing date of the Manba Finance IPO?
The listing date of Manba Finance Limited’s IPO is September 30, 2024.
