The initial public offering (IPO) of fintech company One Mobikwik Systems has entered its third and final day of subscription today, December 13, 2024. The public issue, which opened on December 11, has garnered significant attention and robust demand from investors. By the end of the second day of bidding, the IPO had been subscribed a remarkable 20.37 times in total, with strong participation across all investor categories.
Key Details of the Mobikwik IPO
The Mobikwik IPO is a fresh issue of 2.05 crore equity shares, aiming to raise ₹572 crore at the upper price band of ₹279 per share. The price band for the IPO is set at ₹265 to ₹279 per share, with a minimum lot size of 53 shares. Retail investors need to invest a minimum of ₹14,835 to participate.
Grey Market Premium (GMP) Trends
The IPO’s Grey Market Premium (GMP) has been trending upwards, reflecting strong investor sentiment. As of today, Mobikwik shares are trading at a premium of ₹158 per share in the unlisted market. This suggests a potential grey market price of ₹437 per share, which is a 57% premium over the upper price band of ₹279.
Subscription Status as of Day 2
As of the second day, the IPO had received bids for 24.18 crore equity shares against the 1.18 crore shares on offer, resulting in an overall subscription of 20.37 times. The retail portion was oversubscribed by 64.52 times, showcasing enthusiastic participation. The Qualified Institutional Buyers (QIB) portion was subscribed 84%, while Non-Institutional Investors (NII) booked their portion 30 times.
Expert Review and Investment Guidance
Investment advisory firm Swastika Investmart has classified the Mobikwik IPO as suitable for high-risk investors. While the company has demonstrated consistent revenue growth and has recently turned profitable, its operations are in a highly competitive fintech landscape. The high valuation of the IPO adds to the risk factor.
Important Dates and Timeline
- Subscription Period: December 11 to December 13, 2024
- Allotment Date: December 16, 2024
- Listing Date: December 18, 2024
The allotment process is expected to be finalized on Monday, December 16, with shares likely to list on the BSE and NSE on Wednesday, December 18.
Company Overview
Mobikwik is a leading digital payment platform catering to both customers and merchants. The company has positioned itself as a prominent player in India’s fintech sector, offering a range of services from payment processing to financial products. Its recent turnaround to profitability is a key highlight for investors, though the competitive landscape remains a challenge.
