Digital payment platform One Mobikwik Systems Limited has reduced the size of its IPO for the third time to about Rs 572 crore. This IPO is opening for public subscription on 11 December 2024 and one can invest in it till 13 December 2024. The company has fixed the price band for the IPO at Rs 265-279 per share. The market cap of the company at the price band will be Rs 2165 crore. Anchor investors will be able to bid for this on December 10. The date of share allotment is 16 December 2024, while the company’s shares will be listed in the stock market on December 18. Refund and equity credit will be introduced. At the upper price band, the total market cap of the company will be around Rs 2165 crore.
Reduced size of IPO
The company has reduced the size of the IPO for the third time. Now the size of the IPO has been reduced to Rs 572 crore. Mobikwik got approval for an IPO of Rs 1900 crore in July 2021, but then the IPO was postponed due to market volatility and weak performance. Mobikwik filed draft papers for the IPO in January this year, in which it was said to raise Rs 700 crore. Mobikwik is seeking a valuation of around $250 million through this listing, while according to Tracxn’s data, its valuation in 2021 was $924 million.
Where will the funds be used
The funds raised from the IPO will be used for various purposes. This includes Rs 150 crore for organic growth in its financial services business, Rs 135 crore for expanding its payment services, Rs 107 crore for research and development in AI, machine learning and technology. Rs 70.2 crore will be spent for capital expenditure on payment devices.
What the company does
Founded by Preet Singh and Upasana Taku, MobiKwik aims to use technology to provide financial services to those who are socially and economically left behind or are deprived of services till now. Its platform connects 161.03 million users to 4.26 million merchants.
Also read: NTPC Green IPO Company and Subscription Status Benefits, Full Details
In which online or offline payment facility is available. MobiKwik application offers digital credit, investment and insurance products, which expands the utility of the platform for both new and existing customers.
Loss and profit of the company
MobiKwik is the largest wallet player in India with a market share of 23.11 per cent in PPI wallet GTV, excluding Fastag GTV. For FY24, the company’s revenue stood at Rs 875 crore, which is a better growth than Rs 539.46 crore last year. The company made a profit of Rs 14.08 crore in FY24, recovering from a loss of Rs 83.81 crore last year.