Mon Sep 23 16:12:25 UTC 2024: ## Manba Finance IPO Oversubscribed Within an Hour, GMP Soars to 53%

**Mumbai, India** – Manba Finance’s initial public offering (IPO) witnessed an overwhelming response from investors, with the entire issue being subscribed within just one hour of the bidding process commencing today. This robust demand was driven primarily by retail and non-institutional investors (NII).

By 11:40 am, the IPO had been subscribed 6.47 times over, with the retail category seeing a subscription rate of 9.31 times and the NII portion attracting 8.46 times bids.

The strong investor interest was reflected in the gray market premium (GMP) which surged to ₹64, representing a 53% premium in the unlisted market. This signifies a 46% premium over the issue price of ₹114-₹120 per equity share.

Manba Finance, a Mumbai-based company specializing in financial solutions for both salaried and self-employed individuals, is raising approximately ₹151 crore through this fresh issue of 1.25 crore shares. The IPO remains open until September 25.

The company plans to utilize the proceeds to strengthen its capital base and meet future capital requirements. Manba Finance has established a strong presence in the two-wheeler loan segment, accounting for 92% of its assets under management (AUM).

The company’s AUM has demonstrated a significant growth trajectory, rising from ₹495.82 crore in FY 2022 to ₹936.85 crore in FY 2024, reflecting a CAGR of 37.46%. In FY24, Manba Finance reported a profit of ₹31.41 crore, an 89.50% increase from the previous year. Revenue also witnessed substantial growth, reaching ₹191.58 crore in FY24, driven primarily by higher interest income.

The resounding success of Manba Finance’s IPO indicates strong investor confidence in the company’s future growth prospects and its ability to capitalize on the growing demand for financial services in India.

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