SME IPO: Usha Financial Services’ initial public offering (IPO) opened for subscription on Thursday, October 24. The three-day public offer concluded on Monday, October 28. The issue was subscribed over 19 times at the end of the third day of the bidding process, suggesting strong interest from investors.
Usha Financial Services IPO price band is fixed at ₹160 to ₹168 per share. The company is looking to raise ₹98.45 crore at the upper end of the price band. The offer is entirely a fresh issue of 58.6 lakh shares with no offer-for-sale (OFS) component.
The IPO allotment for Usha Financial Services is likely to be finalised on Tuesday, October 29 with the listing of Usha Financial Services shares likely on Thursday, October 31.
The minimum lot size for Usha Financial Services IPO is 800 shares, suggesting a minimum investment of ₹134,400 for retail investors. Meanwhile, for high net-worth individuals, the minimum investment is two lots or 1,600 shares, amounting to ₹268,800.
Usha Financial Services is a non-banking finance company (NBFC) with over nine years of experience. The company provides lending solutions to NBFCs, MSMEs, corporates and individuals, particularly to women entrepreneurs.
The issue garnered 19.37 times bids on the third and last day of the bidding process on Friday. The quota reserved for qualified institutional buyers (QIBs) was booked at 10.04 times. Meanwhile, the quota for retail investors was booked 20.76 times and for non-institutional investors (NIIs) 28.55 times.
The grey market premium or GMP for Usha Financial Services IPO stood at ₹10 on the last day of the IPO. It suggests that Usha Financial Services shares are trading ₹10 higher over the upper band of the IPO price of ₹168. According to the current trend, the stock could list at ₹178, a premium of 5.95% over the IPO price.
Narnolia Financial Services and Unistone Capital Pvt Ltd are the book-running lead managers of Usha Financial Services IPO while Skyline Financial Services is the registrar to the issue. The market maker for Usha Financial Services IPO is SS Corporate Securities.
