The Manba Finance IPO, which opened for subscription on September 23, has seen strong demand. The IPO, worth ₹150.84 crore, ends its subscription period today, September 25.
Manba Finance is a non-banking finance company (NBFC) that provides loans for two-wheelers (2Ws), three-wheelers (3Ws), electric vehicles (EVs), used cars, small businesses, and personal loans. As of March 31, 2024, the company has assets worth ₹937 crore.
The Manba Finance IPO has been highly oversubscribed, and many analysts recommend investors subscribe. In the grey market, Manba Finance shares are trading at a premium of ₹65, showing strong interest from investors.
Manba Finance IPO Subscription Status
As of September 24 (the second day of bidding), the IPO had been subscribed 73.18 times. The retail portion was subscribed 70.18 times, while Non-Institutional Investors (NII) subscribed 172.23 times. Qualified Institutional Buyers (QIB) subscribed 4.15 times.
Manba Finance IPO Grey Market Premium (GMP)
Manba Finance shares have a GMP of ₹65, meaning they are trading at a 54% premium to the issue price of ₹120 per share in the unlisted market.
Should You Invest?
Manba Finance has shown strong growth, especially in the two-wheeler segment, despite challenges after the pandemic. Analysts point out that its performance and fair valuation make it a good investment opportunity.
Nirmal Bang recommends subscribing, noting that Manba’s loan quality improved, and the company has expanded its business by growing its assets by 37% over the past two years. The company’s return on assets (ROA) and return on equity (ROE) are also in line with competitors.
BP Equities also gives a “Subscribe” rating, saying that Manba Finance is well-positioned to meet future market needs and is priced fairly.
Manba Finance IPO Details
- IPO Dates: Opened on September 23, closes on September 25.
- Price Range: ₹114 to ₹120 per share.
- Minimum Investment: ₹15,000 (125 shares per lot).
- IPO Allotment Date: Expected on September 26.
- Listing Date: Expected on September 30.
- Stock Exchanges: BSE and NSE.
- Lead Manager: Hem Securities.
- IPO Registrar: Link Intime India Private Ltd.
The funds raised from the IPO will be used to support the company’s future growth needs.
Disclaimer: The views and investment tips expressed by investment experts on Sharepriceindia.com are their own and not those of the website or its management. Sharepriceindia.com advises users to check with certified experts before taking any investment decisions.
