Tue Sep 24 10:11:09 UTC 2024: ## Manba Finance IPO Over-Subscribed on Day Two, Strong Demand Across Investor Categories

**MUMBAI, INDIA – September 24, 2024:** The initial public offering (IPO) of Manba Finance continues to draw strong investor interest on its second day of bidding. The issue, which opened for subscription on Monday, has already seen an impressive 46.22 times subscription, indicating high demand from investors across categories.

Manba Finance, a Mumbai-based non-banking finance company (NBFC) specializing in financing for two-wheelers, three-wheelers, electric vehicles, used cars, and small business loans, is offering its shares at a price band of Rs 114-120 apiece. The company aims to raise Rs 150.84 crore through the IPO, which solely involves the sale of fresh equity shares.

The strong response reflects investor confidence in Manba Finance’s growth potential. The company has seen impressive financial performance, with its net income, total income, profit before tax, and profit after tax growing at a CAGR of 35.1%, 35.2%, 48.7%, and 79.6% respectively over FY22-24. Its asset under management (AUM) has also grown at a CAGR of 37.5% during the same period.

The IPO has been well-received by various investor segments. Non-institutional investors (NIIs) have subscribed 92.94 times, while the retail investor portion has witnessed a subscription of 50.14 times. The Qualified Institutional Bidders (QIBs) quota, however, has received a slightly lower subscription of 3.06 times.

Brokerage firms have largely expressed a positive outlook for Manba Finance’s IPO, citing its strong financial performance, expansion plans, and favorable valuation compared to its peers. The company’s foray into diverse products and geographic locations is seen as a key driver of its future growth.

However, some concerns remain regarding the rising cost of capital and increased bad loans.

Manba Finance is expected to list on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) on Monday, September 30. The listing is expected to witness a premium of around 54%, based on current grey market valuations.

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