Muthoot Microfin IPO: GMP, subscription status, price, other details. Buy or not?

Muthoot Microfin IPO: The initial public offering (IPO) of Muthoot Microfin Limited has opened today and it will remain open till 20th December 2023 i.e. till Wednesday this week. This means, Muthoot Microfin IPO date of subscription will remain open from Monday to Wednesday this week. The microfinance company has fixed Muthoot Microfin IPO price band at ₹277 to ₹291 per equity share. It aims to raise ₹960 crore from its initial offer.

Meanwhile, shares of Muthoot Microfin Limited are availagble for trade in grey market. According to stock market observers, shares of Muthoot Microfin Limited are available at a premium of ₹82 in grey market today.

Muthoot Microfin IPO subscription status

By 2:09 PM on day one of bidding, the public issue has been subscribed 0.45 times whereas its retail portion has been subscribed 0.77 times. The NII portion of the public issue has been subscribed 0.27 times.

Important Muthoot Microfin IPO details

Here we list out important Muthoot Microfin IPO details:

1] Muthoot Microfin IPO GMP: Shares of the company are available at a premium of ₹82 in grey market today, say market observers.

2] Muthoot Microfin IPO price: The microfinance company has fixed Muthoot Microfin IPO price band at ₹277 to ₹291 per equity share.

Also Read: Suraj Estate IPO opens today: GMP, date, review, other details. Apply or not?

3] Muthoot Microfin IPO date: The public offer has opened today and it will remain open till 20th December 2023 i.e. till Wednesday this week.

4] Muthoot Microfin IPO size: The company aims to raise ₹960 crore from this public issue out of which ₹760 crore is aimed via fresh issue while ₹200 croer is reserved for OFS (offer for sale).

5] Muthoot Microfin IPO lot size: A bidder will be able to apply in lots and one lot of the IPO comprises 51 company shares.

Also Read: Motisons Jewellers IPO opens today. GMP, price, other details. Should you apply?

6] Muthoot Microfin IPO allotment date: In the wake of T+3 listing rule, most likely date for share allocation is 21st December 2023.

7] Muthoot Microfin IPO registrar: Kfin Technologies Limited has been appointed as official registrar of the public offer.

8] Muthoot Microfin IPO listing: The public issue is proposed for listing on BSE and NSE.

9] Muthoot Microfin IPO listing date: The likely date for share listing is 26th December 2023.

Muthoot Microfin IPO: Apply or not?

10] Muthoot Microfin IPO review: Giving 'subscribe for listing gain' tag to the mainboard IPO, Arun Kejriwal, Founder at Kejriwal Research and Investment Services said, "Microfinance companies are doing well on Dalal Street these days and the public issue may get benefit of this working theme. Hence, I am expecting positive debut of Muthoot Microfin shares on Dalal Street. However, the theme migt not work well after a certain period of time. So, my suggestion on investors is to apply for listing gains only becuase there might be some consolidation in Muthoot Microfin shares after listing."

Giving 'subscribe for medium to long term' tag to the Muthoot Microfin IPO, Shreyansh Shah, Research Analyst at StoxBox said, "Muthoot’s group loans (including income-generating loans and Pragathi loans) are based on a group lending model, catering exclusively to women. An informal JLG (typically comprising between eight to 45 members) provides joint and several guarantees for loans obtained by each member of the JLG. While the lender’s operations have historically been concentrated in South India, they have in recent years expanded into North, East, and West India and have a total of 707 branches across North, West, and East India as of September 30, 2023, representing 52.8% of its total branches as of September 30, 2023. Moving forward, the NBFC expects a significant portion of its future geographic expansion to include rural areas in these regions of India and intends to grow the branches in four key states: Uttar Pradesh, Bihar, Rajasthan, and Punjab, which are underpenetrated. As the lender will utilize the net proceeds of the fresh equity shares issue to augment its Tier-I capital base, its capital adequacy will enhance and lead to a stable leverage position. At the current P/BV multiple of 2.3x, we believe the company is fairly valued and advise investors to “Subscribe” from a medium to long-term perspective."

Anand Rathi, Swastika Investmart have also given 'subscribe' tag to Muthoot Microfin IPO whereas Ashika Research, HDFC Securities, SBI Securities have not rated the public issue.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decision.cription st