Navi Technologies IPO

About Navi Technologies IPO

In 2018, soon after exiting Flipkart, the co-founder and former chairman of the e-commerce platform decided to switch gears. Sachin Bansal made his foray into the burgeoning finance industry with Navi Technologies. The Bansal-owned fintech aims to become a disruptor in this space. 

From personal loans and home loans to general insurance and mutual funds, the fintech player offers a variety of financial products and services on its digital platform.  

And now, the company is all set to tap the equity markets to fuel its growth. The company plans to launch the Navi Technologies IPO and list on the bourses. The proceeds raised via the fresh issue of the Navi Technologies IPO will be used for augmenting the capital base of the company’s subsidiary Navi Finserv (NFPL), which is a non-banking financial company.  The money will also be used to shore up the capital base and maintain the current solvency levels of Navi General Insurance. 

Here are the key details about Navi Technologies IPO:

Financial snapshot

A quick look at Navi Technologies IPO’s strengths, risks and threats

Strengths  

1. The Navi App is a one-stop shop for personal loan, home loan, and health insurance products
2. Provides instant digital personal loans up to ₹20 lakh with a tenure of up to 84 months
3. Has disbursed 604 home loans with an average ticket size of ₹38 lakh
4. Launched its general insurance business through the acquisition of DHFL General Insurance in February 2020
5. Its microfinance business has assets under management (AUM) of ₹1,808.8 crore
6. Its mobile-first approach helps to serve customers in a much quicker time frame
7. Has 29 lakh average monthly active users and 41 lakh total logins on the Navi App, as of December 2021
8. The end-to-end ownership allows it to innovate across its product designing process
9. Its underwriting, pricing, risk management and collections are driven by proprietary data science and machine learning capabilities

Risks and threats

1. Loan defaults may adversely affect the financial condition and cash flow 
2. Customers belonging to the low-income group account for around 26% of the assets under management (AUM) of NFPL
3. It’s lending and treasury operations are affected by volatility in the interest rates
4. Around 44% of the revenue came from its lending business in the first nine months of FY22
5. Operates in highly competitive sectors. Faces competition from various players including banks, asset management companies, insurance companies and NBFCs
6. If its actual claim payments are significantly worse than the assumptions used for product pricing, it could have an adverse effect on the business 
7. Any adverse change in its asset management business’ AUM may result in a decline in the revenue and profit
8. Has incurred losses in the past and failure to generate profit may adversely affect the business

Navi Technologies IPO details

| Navi Technologies IPO date 

The company has filed its Draft Red Herring Prospectus (DRHP) with the market regulator SEBI. But the Navi Technologies IPO’s opening date – in other words, the Navi Technologies IPO launch date – hasn’t been announced yet. The Navi Technologies IPO closing date also hasn’t been declared. Along with these dates, investors will be updated about the Navi Technologies shares allotment date. 

Investors, who receive allotment, can expect Navi Technologies shares to be credited in their demat account after the allotment date. Besides this, the Navi Technologies IPO listing date hasn’t been announced yet. The listing date is the date on which the shares of a company get listed on the bourses – NSE and BSE. Stay tuned with Uptox for all the key updates about the Navi Technologies IPO.

| Navi Technologies IPO price band

The Navi Technologies IPO is a book-built issue. The Navi Technologies IPO price band hasn’t been set yet. The price band is a price range within which investors can apply for the IPO. When the Navi Technologies IPO opens, interested investors will have to choose a price within the band to apply for the public issue. 

Also, the Navi Technologies IPO listing price will be determined on the listing date. The listing price is the price at which the shares of a company make their debut on the stock exchanges.

| Navi Technologies IPO lot size

The Navi Technologies IPO details haven’t been declared. Hence, the Navi Technologies IPO lot size also hasn’t been announced yet. It’s important to note that an investor can apply for a minimum of 1 lot. Meanwhile, according to the news reports, the Navi Technologies IPO issue size could be around ₹3,350 crore.

How to apply for the Navi Technologies IPO?

If you are interested in this investment opportunity but unsure how to apply for the Navi Technologies IPO, here we are listing out the steps for you. 

When the public issue opens for subscription, one can follow this step-by-step guide on how to apply for the Navi Technologies IPO on Upstox: 

1. Login to your Upstox account, using your six-digit PIN
2. After successfully logging in, click on ‘Discover’
3. On the Discover tab, you will find the ‘Invest in IPO’ section
4. Under the Invest in IPO section, look for the ‘Navi Technologies IPO’ tab and click on it
5. Now fill in all the required information, like ‘bid price’ and ‘lot size’
6. Confirm and click on ‘Apply’
7. Accept the mandate on your UPI app

How to check the Navi Technologies IPO allotment status?

When the allotment process is completed, you can check the status of your application on the Upstox app. Share allotment is generally done around five to six days after an IPO closes. 

Here’s a step-by-step guide on how to check the Navi Technologies IPO allotment status:

1. Login to your Upstox account, using your six-digit PIN
2. After successfully logging in, click on ‘Discover’
3. On the Discover page, you will find the ‘Invest in IPO’ section
4. Under the Invest in IPO section, you will find the ‘View all’ option
5. Once you click on ‘View all’, you will be directed to the ‘IPO’ tab
6. In the ‘IPO’ tab, click on ‘My applications’ 
7. In ‘My applications’, under the History section, your Navi Technologies IPO allotment status will be mentioned

Open a demat account with Upstox to apply for the Navi Technologies IPO

To apply for the Navi Technologies IPO, you need to mandatorily have a demat account. A demat account helps you hold the shares you buy in a dematerialised format. If you don’t have a demat account yet, you can open one with Upstox by visiting our website or by downloading the app.

Here is a step-by-step guide on how to open a demat account with Upstox:

1. Click here to visit the demat account opening page on the Upstox website. 
2. Enter your phone number and other essential details to begin opening a demat account.
3. Upload the scanned copies of your PAN, Aadhaar card, a cancelled cheque, and your bank statement as needed. 
4. Complete the e-verification using the OTP sent to your registered mobile number. 

This is all it takes to open a demat account with Upstox. Easy and quick, right? 

Upstox – trading app to apply for the Navi Technologies IPO

Applying for IPOs with Upstox is extremely easy. The user-friendly interface and top-notch security make Upstox one of the leading trading apps in India.  

You can apply for the Navi Technologies IPO on Upstox, provided you have a demat account. As mentioned in the previous section, you can simply follow the steps to open a demat account with Upstox. The biggest advantage is that when you apply for an IPO using your Upstox account, the brokerage charges are zero. 

In fact, courtesy of its robust features and minimal charges, Upstox is among the most preferred trading apps. Lakhs of Indians trust Upstox as it is a reliable trading platform that makes IPO applications easy.