My Mudra Fincorp IPO opens today: Check the issue size, price band, GMP and other details

My Mudra Fincorp’s IPO for SMEs will open today and close on September 9. The company is looking to raise around Rs 33 crore through the My Mudra Fincorp IPO and list the shares on the NSE SME platform. Here are 10 key things that investors need to know about the IPO before subscribing to the issue.

1) The size of my Mudra Fincorp IPO

The IPO is a greenfield equity issue of 30.24 lakh shares and through the issue, the company plans to raise Rs 33 crore.

2) My Mudra Fincorp IPO Price Band

The company is offering its shares at a price of Rs 104-110 each, and investors can bid for 1,200 shares in one lot.

3) My Fincorp GMP Mudra

In the unlisted market, the company’s shares are trading at a GMP of Rs 40, which translates to a 36% premium over the issue price.

4) About My Mudra Fincorp

My Mudra Fincorp operates as a Channel Partner (DSA) for leading banks and NBFCs in India. It integrates telephony, advertising, direct marketing, referrals, networking and a combined physical and digital (brick and mortar) approach to acquire customers.Read also: Shree Tirupati Balajee Agro Trading IPO opens tomorrow: Price band, GMP among 10 things to know

5) Industry overview

India’s financial services sector is thriving, driven by rising incomes and financial inclusion, with the insurance market projected to reach $1 trillion by 2025. The fintech space is expanding rapidly, with over 2,100 companies, and the mobile wallet industry is expected to grow at a CAGR of 148% to $4.4 billion by 2022.

6) My financial performance at Mudra Fincorp

For the year ended March 2024, the company reported total revenue of Rs 71 crore and net profit of Rs 8.35 crore.

7) Objects of the offer

The net proceeds from the public offering will be used for repayment of debt, investment in technology development and digital infrastructure, working capital requirements and general corporate purposes.

8) Senior Managers and Registrar

Hem Securities is acting as lead manager for the issue and Skyline Financial Services is the registrar.

9) Structure of the issue

Approximately 50% of the offering is reserved for QIB investors, 35% for retail investors and the remaining 15% for non-institutional investors.

10) Important dates

The IPO opened on September 5 and will close on September 9. Final allotment is expected to take place on September 10, and the company’s shares will likely be listed on September 12.