Mobikwik files for ₹700 cr IPO
Payments business One MobiKwik Systems Ltd has filed its draft papers with the Securities Exchange Board of India (Sebi) to raise ₹700 crore in an initial public offering (IPO).
Mobikwik is also aiming to raise ₹140 crore in a pre-IPO placement, which if successful will reduce the issue size appropriately. SBI Caps and DAM Capital are managing the issue. This is the fintech company’s second attempt at the bourses with a reduced offer size. This is also less than what the company initially planned for. Earlier this week, the company obtained a board resolution to raise ₹880 crore worth of fresh issue of equity shares through IPO.
The company had first attempted to raise ₹1,900 crore in November 2021, but decided to withdraw because of poor investor sentiment. Unlike the first time, the company has dropped its offer for sale (OFS) component with no secondary sale of shares in this issue.
The company plans to use the primary proceeds to fund its business. The objects of the issue include ₹250 crore towards the funding of financial services business, with another ₹135 crore earmarked towards the payments business. It plans to use ₹135 crore towards “Investment in data, ML and AI and product and technology” and will use the remaining ₹70 crore for capital expenditure and other expenses.
https://www.livemint.com/market/ipo/mobikwik-files-drhp-for-ipo-with-sebi-11704436809369.html
