Upcoming IPO: One MobiKwik Systems Fixes Price Band At Rs 265-279/Share; Check Key Dates & More

Digital payment platform One MobiKwik Systems is gearing up to hit the capital markets with its initial public offering (IPO). With a price band set between Rs 265 and Rs 279 per equity share, the IPO is scheduled to open for subscription on Wednesday, December 11, and close on Friday, December 13. Here's a detailed look at the key aspects of the MobiKwik IPO, from allotment timelines to the company's growth story.

Key IPO Details

MobiKwik aims to raise Rs 572 crore through its IPO, which will consist solely of a fresh issue of shares with no offer-for-sale component. The funds raised will be deployed to strengthen the company's technology capabilities, including investments in artificial intelligence (AI) and machine learning (ML). Additionally, the proceeds will be used for capital expenditures related to payment devices and general corporate purposes.

The company has allocated shares as follows:

75% for Qualified Institutional Buyers (QIBs)
15% for Non-Institutional Investors (NIIs)
10% for Retail Investors
Investors can bid for a minimum lot size of 53 shares and in multiples thereafter.

Important Dates

Anchor Investor Allocation: Tuesday, December 10
Subscription Window: Wednesday, December 11 - Friday, December 13
Basis of Allotment Finalization: Monday, December 16
Refund Initiation: Tuesday, December 17
Credit of Shares to Demat Accounts: Tuesday, December 17
Listing on NSE and BSE: Wednesday, December 18

About One MobiKwik

One MobiKwik Systems operates a two-sided payment network connecting consumers and merchants. As of June 30, 2024, the platform has acquired 161.03 million registered users and empowered 4.26 million merchants for online and offline transactions.

In addition to payment services, MobiKwik has been diversifying its offerings by introducing innovative solutions in digital credit, investments, and insurance. The company believes this diversification enhances its value proposition, driving growth among both new and existing users.

According to its Red Herring Prospectus (RHP), MobiKwik is uniquely positioned in the payment and financial services sector, with no direct comparables in India or globally that share its business model and scale.

Financial Growth

One MobiKwik Systems Limited reported a 59% growth in sales and a 117% surge in profit after tax (PAT) between the fiscal years ending March 31, 2023, and March 31, 2024.

Focus on Technology

The IPO proceeds will enable MobiKwik to strengthen its technological backbone, which includes investments in data analytics, AI, and ML. By integrating advanced technologies, MobiKwik aims to enhance user experience and optimize operations.

The company also plans to deploy part of the funds for capital expenditures related to payment devices, further boosting its infrastructure to meet the growing demand for secure transactions.

MobiKwik's unique position in the payments and financial services space allows it to address consumer needs. With initiatives like personalized financial services and its ability to scale offerings rapidly, the company is poised for sustained growth.

The company's lead managers for the IPO are SBI Capital Markets Limited and Dam Capital Advisors Ltd, while Link Intime India Private Ltd is serving as the registrar.