My Mudra Fincorp shares list with 18% premium at ₹130 per share on the NSE SME platform; check details

Shares of small and medium enterprise (SME) My Mudra Fincorp Ltd made a lacklustre trading debut on Thursday, September 12. The stock listed at an 18% premium on the NSE Emerge platform.

My Mudra Fincorp stock opened the session at ₹130 apiece on Tuesday, up 18.2% compared with its initial public offering (IPO) price of ₹110. Within minutes of the session opening, the share price hit the 5% lower circuit at ₹123.55.

The stock recovered some of its early losses to trade 3.73% lower at ₹125.15 apiece on the NSE at 10:16 am.

As the minimum bid quantity in the My Mudra Fincorp IPO was 1,200 shares, successful bidders who were allotted shares in the primary issue managed listing gains of at least ₹24,000 (₹20 x 1,200) as soon as the stock started to trade on exchanges.

My Mudra Fincorp IPO details

The ₹33.26-crore My Mudra Fincorp IPO was open for bidding between September 5 and September 9. During the three-day bidding period, investors across categories expressed huge demand.

At the end of bidding, the NSE SME IPO was subscribed 102.55 times, with investors applying for 20.62 crore shares compared to the 20.11 lakh shares on offer.

The non-institutional investors (NIIs) led the demand, with the portion reserved for them getting booked nearly 160 times. Retail investors’ quota was booked almost 109 times, while the qualified institutional buyers’ (QIB) segment was subscribed almost 49 times.

My Mudra Fincorp IPO was a book-built issue consisting entirely of fresh issuance of 30.24 lakh shares, with no offer-for-sale component.

The price for the IPO was fixed at ₹104 to ₹110 per equity share, with a lot size of 1,200 shares.

My Mudra Fincorp had earlier said that it planned to use the proceeds from its IPO to repay a portion of its borrowing. The company added that it would also use some of the funds raised to invest in technology development and digital infrastructure, meet working capital requirements, and for general corporate purposes.

About My Mudra Fincorp

Incorporated in 2013, My Mudra Fincorp is a channel partner for major banks and non-banking finance companies (NBFCs) in India. It acts as a bridge between lenders and customers to distribute and sell a wide range of financial products. As a channel partner, it also offers home and property, business, personal, and professional loans.

The company’s customers include private individuals, businesses and professionals such as chartered accountants and company secretaries.