MobiKwik Aims to Raise ₹572 Crore Through Fresh Issue, Focuses on Growth and Innovation
MobiKwik IPO Opens December 11: Price Band Set at ₹265–₹279 per Share
MobiKwik Aims to Raise ₹572 Crore Through Fresh Issue, Focuses on Growth and Innovation
BILKULONLINE
Ahmedabad, Dec 9: One MobiKwik Systems Limited, a leading digital payments platform, is set to launch its Initial Public Offering (IPO) on Wednesday, December 11, 2024.
The company has announced a price band of ₹265–₹279 per equity share of face value ₹2 each. The subscription period will close on Friday, December 13, 2024.
The IPO is entirely a fresh issue, aiming to raise ₹572 crore, with no offer-for-sale component. Investors can bid for a minimum lot size of 53 equity shares and multiples thereof.
Utilization of IPO Proceeds
The company plans to allocate the proceeds as follows:
₹150 crore for organic growth in its financial services business
₹135 crore for organic growth in its payment services business
₹107 crore for R&D investments in data, ML, AI, and product development
₹70.28 crore for capital expenditure in its payment devices business
Remaining funds for general corporate purposes
Company Overview
Founded by Bipin Preet Singh and Upasana Taku, MobiKwik operates a two-sided platform connecting consumers and merchants through payment and financial services. As of June 30, 2024, the platform had over 161 million registered users and 4.26 million merchants conducting both online and offline transactions.
MobiKwik has also expanded into digital credit, investments, and insurance, creating a comprehensive ecosystem. This strategy has helped the company achieve a profit of ₹14.08 crore in FY2024. Its Payment GMV grew at an annual rate of 45.88%, while MobiKwik ZIP GMV (disbursements) witnessed a significant annual growth rate of 112.16% between FY2022 and FY2024.
Key Achievements
Presence in 99% of India’s pin codes
70.88 million KYC-completed users
₹28,578 crore in platform GMV as of June 2024
₹2,347 crore in digital credit disbursed YTD
Competitive customer acquisition cost (CAC) of ₹33.53
IPO Details
SBI Capital Markets Limited and DAM Capital Advisors Limited are the book-running lead managers for the issue, with Link Intime India Private Limited serving as the registrar.
The IPO will follow a book-building process, with allocations distributed as follows:
75% for Qualified Institutional Buyers (QIBs)
15% for Non-Institutional Investors (NIIs)
10% for Retail Individual Bidders
MobiKwik’s innovative solutions and strong growth trajectory position it as a key player in India’s digital payments and financial services landscape.
Upasana Taku, ED, Chairperson & CFO accompanied with Bipin Preet Singh, MD & CEO of – One Mobikwik Systems Ltd were in Ahmedabad on Monday to interact with the media of Gujarat.
Anand Kumar, VP (Corp. Dev., Strategy) and Dipal Talsania, SBI Capital Markets were also present.
Disclaimer: This IPO news report is for informational purposes only and does not constitute financial or investment advice.
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