Monarch Networth Capital Announces Rs 300 Crore Fundraising and 1:1 Bonus Shares to Investors

Monarch Networth Capital announced a Rs 300 crore equity raise via preferential allotment and a 1:1 bonus issue of shares for investors. The raised funds will support various business ventures, including Portfolio Management Services and a Mutual Fund license. The firm's net worth is expected to reach Rs 700 crore by September 2024.

New Delhi (India), July 29: Monarch Networth Capital, an integrated financial services firm listed on exchanges, announced significant fundraising and a bonus share issuance following a board meeting on Sunday.

Today, the company informed stock exchanges that it has successfully raised Rs 300 crores through an equity fundraise at Rs 560 per share via preferential allotment, a method where a company issues shares or convertible securities to a specific group of investors.

The board also approved a 1:1 bonus issue of shares, meaning for every share an investor holds, they will receive one additional share. Monarch Networth Capital's net profit has surged from Rs 2 crore in 2019-20 to Rs 123 crore in 2023-24, indicating consistent growth.

The fresh funds will support the firm's expansion into various business verticals. Plans include launching a Portfolio Management Services (PMS) offering, scaling the Margin Trading book, launching a pre-IPO fund, applying for a Mutual Fund license, strengthening the Debt Capital Market division, and more.

Gaurav Bhandari, CEO of Monarch Networth Capital, said, "This fundraise will empower us to accelerate our growth initiatives, innovate our offerings, and continue delivering exceptional value to our stakeholders."

Managing Director Vaibhav Shah added, "The issue of 1:1 bonus shares is a gesture to showcase our gratitude and commitment to rewarding our investors for their enduring belief in Monarch Networth's immense potential. The fresh capital will enable us to explore new avenues and enhance our service offerings. With this fundraise, our net worth is set to surge."

The company's net worth is projected to soar to Rs 700 crore by September 30, 2024. Monarch Networth Capital currently operates in over 100 cities, with approximately 55 branches nationwide and a sub-broker network exceeding 900.

(With inputs from agencies.)