MobiKwik, a fintech platform, made an outstanding debut on the stock exchange today, trading at Rs 444 - a 59% premium to its issue price of Rs 279—reflecting significant investor interest.
MobiKwik's bidding period lasted from December 11 to 13, with a price range of Rs 256-279 per share, a lot size of 53 shares, and a minimum investment of Rs 14,045. The company planned to raise Rs 572 crore through a new offering.
Records show that as of December 13, the shares that were to be distributed to eligible institutional investors had been oversubscribed by 34X, while the shares that were to be distributed to retail and non-institutional investors had been oversubscribed by 88X and 113X, respectively.
As of 11.14 AM, Mobikwik is trading at Rs 510, with a total market value of Rs 3,962 crore, or $472 million. In the morning, it also touched a range of Rs 525 per share. Notably, the company was valued at $197 million prior to the IPO issue, representing a 2.4X increase in valuation.
Mobikwik said it will use Rs 150 crore of the IPO proceeds to expand its financial services business, Rs 135 crore to expand its payments business, and Rs 107 crore to invest in product technology, data science, and AI-ML research and development.
Peak XV had 16.7% of the shares prior to the IPO, making it the largest external shareholder. Bajaj Finance came in second with 13.41%. Upasana Taku and Bipin Preet Singh, its co-founders, hold 13.06% and 19.21% of the company, respectively.
MobiKwik recorded revenue of Rs 342.2 crore for the first quarter of the current fiscal year (Q1 FY25), with a marginal loss of Rs 6.6 crore for the same period. The company's revenue increased by an astonishing 62% year over year in FY24, from Rs 539 crore in FY23 to Rs 875 crore. With a profit of Rs 14 crore, it concluded FY24 on a high note as well.
