Manba Finance IPO to open on Sep 23; sets price band at ₹114-120 per share

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

The initial share sale will open for public subscription on September 23 and conclude on September 25, the company announced.

Manba Finance's IPO is entirely a fresh issue of up to 1.26 crore shares worth ₹151 crore at the upper end of the price band.

At present, promoters hold 100% stake in the Maharashtra-based Manba Finance.

Proceeds from the issues will be utilised to augmenting the capital base to meet the company's future capital requirements towards onward lending and for general corporate purposes.

The company said that half of the issue size has been reserved for qualified institutional buyers, 35% for retail investors, and the remaining 15% shares for non-institutional investors.

Further, investors can bid for a minimum of 125 equity shares and in multiples of 125 equity shares thereafter.

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

Its Assets Under Management (AUM) increased to ₹936.85 crore in FY24 from ₹495.82 crore in FY22 with a CAGR of 37.5%.

Manba Finance's profit surged 89.5% to ₹31.41 crore in the financial year 2023-24, from ₹16.58 crore in the previous year. Besides, revenue grew 44% to ₹191.58 crore during FY24 from ₹133.32 crore.

Hem Securities is the sole lead manager to the issue.