Manba Finance Sets IPO Price Band at Rs 114-120 per Share

Non-banking Finance Company Manba Finance Ltd has announced the price band for its Rs 151-crore IPO at Rs 114-120 per share. The subscription period for the IPO will begin on September 23 and end on September 25. The proceeds will be used to enhance the company's capital base.

Non-banking Finance Company (NBFC) Manba Finance Ltd on Wednesday fixed a price band of Rs 114 to Rs 120 per share for its Rs 151-crore initial public offering (IPO).

The IPO will open for subscription on September 23 and close on September 25, as per the company's announcement.

Manba Finance's IPO is a fresh issue comprising up to 1.26 crore shares worth Rs 151 crore at the upper price band.

Currently, the promoters hold a 100 per cent stake in the Maharashtra-based finance company.

The IPO proceeds will be used to strengthen the capital base to meet future capital requirements and for general corporate purposes.

The issue has been allocated as follows: 50 per cent for qualified institutional buyers, 35 per cent for retail investors, and 15 per cent for non-institutional investors.

Investors can bid for a minimum of 125 equity shares and in multiples of 125 thereafter.

Manba Finance offers financial solutions for auto loans, used cars, small business loans, and personal loans. It operates in 66 locations across six states: Maharashtra, Gujarat, Rajasthan, Chhattisgarh, Madhya Pradesh, and Uttar Pradesh.

Its Assets Under Management (AUM) increased to Rs 936.85 crore in FY24 from Rs 495.82 crore in FY22, with a CAGR of 37.5 per cent.

The company's profit surged 89.5 per cent to Rs 31.41 crore in FY24 from Rs 16.58 crore the previous year. Revenue grew 44 per cent to Rs 191.58 crore during the same period from Rs 133.32 crore.

Hem Securities is the sole lead manager for the issue.