Muthoot Microfin's INR 960 Cr IPO Opens Dec 18 – is it the Opportunity to apply it

"Seize the Moment: Muthoot Microfin's INR 960 Cr IPO Launches on Dec 18, 2023 – Invest Wisely!"

 

Muthoot Microfin , the microfinance subsidiary of the esteemed Muthoot Pappachan Group, is gearing up for a significant financial milestone as it initiates its Initial Public Offering (IPO) with a robust INR 960 crores debut on 18-Dec-2023. As per the IPO documentation, interested investors have until December 20/2023 to participate, while anchor investors have the opportunity to place bids for shares starting on 15-dec-2023.

Investors are eagerly anticipating this IPO as Muthoot Microfin unveils opportunities for growth and financial inclusion. The IPO promises to be a game-changer in the microfinance sector, providing a chance for investors to become a part of Muthoot Microfin's success story. This microfinance IPO will introduce 760 crores worth of fresh shares to the market, with an additional 200 crores allocated for the Offer for Sale (OFS). Noteworthy participants in the OFS include Greater Pasipik WIV Limited and prominent stakeholders such as Thomas John Muthoot, Thomas Muthoot, Thomas George Muthoot, Preeti John Muthoot, Remy Thomas, and Nina George.

Image source: Company website-google-images

Muthoot Microfin IPO main details:

IPO Date: December 18, 2023, to December 20, 2023

Face Value: 10 per share

Price Band range: 277 to ₹291 per share

IPO per Lot Size: 51 Shares

Issue Size: 32,989,690 shares (aggregating up to 960.00 Cr)

Fresh Issue: 26,116,838 shares (aggregating up to 760.00 Cr)

Offer for Sale: 6,872,852 shares of ₹10 (aggregating up to 200.00 Cr)

Employee Discount:  14 per share

Listing At: BSE, NSE

Retail investors minimum investment amount required per lot  (51Shares) = rs 14,841/ per lot

Retail (investors can maximum apply for 13 lots (663 shares) = rs192,933 amount

 

What  is the business of Muthoot Microfin:

Muthoot Microfin had Established in April 1992, Muthoot Microfin Limited, a subsidiary of the Muthoot Pappachan Group, which is dedicated to empowering female customers in rural India through micro-loans business with strong grip on it.

Muthoot Microfin company  offerings include:

Health and Hygiene Loans business:

 Facilitating improvements in sanitary facilities through specialized loans.

Secured Loans business:

 Offering gold loans and Muthoot Small & Growing Business ("MSGB") loans for secure financial solutions.

Group Loansb business:

Tailored for livelihood enhancement, encompassing income-generating loans, Pragathi loans (offering working capital to existing customers), and individual loans.

Life Betterment Solutions:

Providing financial support for essential needs, including loans for cell phones, solar lights, and household appliances.

In a significant stride towards digital inclusivity, the company introduced the "Mahila Mitra" mobile application in 2021. As of March 31, 2023, the Mahila Mitra application boasts 1.18 million downloads and has facilitated 1.70 million digital transactions, reflecting company commitment to modern and accessible financial services.

What is Recommendation on Muthoot Microfin IPO:

With experienced and strong management of the Muthoot Microfin , we can say that long term investors or risky investors may apply for Muthoot Microfin IPO otherwise Ignore it. Traders may apply for Muthoot Microfin IPO for small profit but we can say that there are other good options are also available into the Indian stock market. So, only risky traders should apply for Muthoot Microfin IPO.