Fusion Micro Finance was incorporated on September 5, 1994. The company was founded with the core idea of creating opportunities by providing financial services to unserved and underserved women in rural and peri-rural areas across India.
| Bidding Dates |
|---|
| 02 Nov 2022 - 04 Nov 2022 |
| Subscription |
|---|
| 2.95x Oversubscribed |
| Minimum Investment | Minimum Lot | Maximum Lot | Lot Size | Number of Shares | Issue Price Band | Post Issue Promoter Holding % | Issue Size | IPO Document |
|---|---|---|---|---|---|---|---|---|
| ₹14,720 | 1 | 13 | 40 | 30.0 M | ₹350 - ₹368 | 70.19 % | ₹10500.0 M - ₹11040.0 M | RHP DOC |
Fusion Micro Finance IPO SUBSCRIPTION STATUS
04 Nov '22Fusion Micro Finance IPO overall subscription rate was 2.95 times the total available shares
Fusion Micro Finance IPO retail subscription rate was 0.51 times in the retail segment
Fusion Micro Finance IPO non-institutional investor subscription rate was 1.38 times in the non-institutional investor category
Fusion Micro Finance IPO Qualified Institutional Bidder subscription rate was 8.59 times the available shares for Qualified Institutional Bidder
| Day | Retail Individual Investor | HNI (NII) Investors | Qualified Institutional Buyers |
|---|---|---|---|
| Category Reservation | 35% | 15% | 50% |
04 Nov 2022 (Day 3) | 0.51x | 1.38x | 8.59x |
03 Nov 2022 (Day 2) | 0.31x | 0.61x | 0x |
02 Nov 2022 (Day 1) | 0.14x | 0.23x | 0x |
Fusion Micro Finance FINANCIALS
| Period | Net Profit (Rs in millions) | Revenue from Operations (Rs in millions) | Cash Flow from Operations (Rs in millions) | Free Cash Flow (Rs in millions) |
| Q1FY23 | 751.0 | 3,293.6 | -5,784.3 | -5,794.8 |
| Q1FY22 | 44.1 | 2,499.7 | 14.5 | 7.0 |
| FY22 | 217.6 | 10,643.2 | -16,407.3 | -16,470.1 |
| FY21 | 439.4 | 8,275.6 | -7,930.3 | -8,007.1 |
| FY20 | 696.1 | 6,664.9 | -7,494.3 | -7,525.4 |
Fusion Micro Finance IPO SUBSCRIPTION STATUS DETAILS
Fusion Micro Finance had 30.0 M shares on offer
Fusion Micro Finance IPO offer price was in the range ₹350 - ₹368
Fusion Micro Finance IPO minimum Investment was ₹14720
Fusion Micro Finance IPO issue size was ₹ 10500.0 M - ₹ 11040.0 M
Fusion Micro Finance had a minimum lot size of 40 Shares per application
Fusion Micro Finance NUMBER OF SHARES ON OFFER
Fusion Micro Finance IPO IMPORTANT DATES
| Issue Open Date | 02 Nov 2022 |
| Issue close Date | 04 Nov 2022 |
| Allotment Date | 10 Nov 2022 |
| Refund Date | 11 Nov 2022 |
| Demat Account Credit Date | 14 Nov 2022 |
| Listing Date | 15 Nov 2022 |
| Listing on Exchange(s) | NSE and BSE |
| Fusion Micro Finance Allotment Status | Exchange |
Fusion Micro Finance IPO subscription opened on 02 Nov 2022, and closed on 04 Nov 2022
IPO allotment for Fusion Micro Finance was finalized on Thursday, 10 Nov 2022
IPO listing for Fusion Micro Finance was on NSE and BSE on Tuesday, 15 Nov 2022
Fusion Micro Finance IPO LISTING GAINS
| Issue Price (adjusted) | 368.0 |
| Listing Open Price | 359.5 |
| Listing Close Price | 324.8 |
| Listing Gain% | -2.3% |
| Current Gain% | -44.3% |
Fusion Micro Finance Peer
| Stock | Stock Price | Market Cap (Rs crore) | PE TTM | PEG TTM | PS TTM | ROE% | ROA% | Annual Revenue (Rs crore) | Annual Revenue Growth % | Annual Net Profit (Rs crore) | Annual Net Profit Growth % | EPS TTM | EPS TTM Growth % |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fusion Finance Ltd. | 205 | 2062.8 | 239.4 | 2.4 | 2 | 0.6 | 0.2 | 1732.5 | -26.9 | 13.8 | 101.1 | 0.9 | 101.1 |
| Au Small Finance Bank Ltd. | 1067 | 79981.2 | 28 | 0.9 | 4.1 | 13.2 | 1.4 | 21614.3 | 16.3 | 2641.3 | 25.4 | 38.1 | 30.8 |
| CreditAccess Grameen Ltd. | 1523.6 | 24424.8 | 20.2 | 0 | 3.8 | 9.9 | 2.4 | 6062.5 | 5.3 | 777.6 | 46.3 | 75.5 | 524.3 |
| Ujjivan Small Finance Bank Ltd. | 70.1 | 13661.2 | 15.1 | 0.2 | 1.9 | 10.2 | 1.2 | 8039 | 11.6 | 692.6 | -4.6 | 4.6 | 71.5 |
| Equitas Small Finance Bank Ltd. | 75.2 | 8604.7 | 16.9 | 0 | 1.2 | 1.7 | 0.2 | 7867.8 | 8.9 | 103.1 | -29.9 | 4.5 | 598.1 |
| Jana Small Finance Bank Ltd. | 549.4 | 5808 | 15.3 | -1.2 | 1 | 7.3 | 0.7 | 6374.8 | 16.2 | 326.4 | -34.9 | 35.9 | -12.3 |
Fusion Micro Finance INFORMATION ON IPO ISSUE
About Fusion Micro Finance
Fusion Micro Finance was incorporated on September 5, 1994. The company was founded with the core idea of creating opportunities by providing financial services to unserved and underserved women in rural and peri-rural areas across India.
Object of the Issue
- Augment the capital base of the company
Fusion Micro Finance - PROMOTERS
| Name |
|---|
| Devesh Sachdev |
| Creation Investments Fusion, LLC |
| Creation Investments Fusion II, LLC |
| Honey Rose Investment Ltd |
Fusion Micro Finance Book Running Lead Managers
ICICI Securities Limited
fusion.ipo@icicisecurities.com
CLSA India Private Limited
fusionmicrofinance.ipo@clsa.com
IIFL Securities Limited
fusion.ipo@iiflcap.com
JM Financial Limited
fusion.ipo@jmfl.com
Fusion Micro Finance Registrar to the Offer
Link Intime India Private Limited
fusion.ipo@linkintime.co.in
Fusion Micro Finance Strengths
Pan-India presence
As of June 30, 2022, the company had 2.90 million active borrowers, who were served by 966 branches and 9,262 employees spread across 377 districts in 19 states and union territories in India
Proven execution capabilities
The company has been able to achieve significant success with a growth strategy of targeting underserved and underpenetrated rural areas in both existing markets and new geographies
Access to diversified sources of capital and effective asset liability management
The company has adopted a calibrated approach towards diversifying fundraising sources and minimising costs of borrowings with prudent asset liability management and effective liquidity management
Robust underwriting process
Its robust risk management policies and underwriting processes, such as extensive customer assessment methodologies and monitoring systems, have resulted in healthy portfolio quality indicators
Management team
The company has a stable and experienced management team supported by marquee investors
Fusion Micro Finance Risks
Risk from increase in provisions
An increase in the level of the company's NPAs or provisions may adversely affect business, financial condition, results of operations, and cash flows
Number of branches
The company may face various risks associated with a large number of branches and a widespread network of operations
Vulnerable to Interest rate risk
The business is particularly vulnerable to interest rate risk, and volatility in interest rates could have an adverse effect on net interest income and net interest margin
Outstanding legal proceedings
There are outstanding legal proceedings against the company and its directors
IPO FAQs
This IPO consists of an offer for sale of up to Rs 504.0 crore, of 13,695,466 shares. It also consists of a fresh issue of Rs 600.0 crore.
The promoters of the company are Devesh Sachdev, Creation Investments Fusion, LLC, Creation Investments Fusion II, LLC and Honey Rose Investment Ltd.
The category allocation of qualified institutional buyers is 50.0%, the category allocation of non individual investors or high networth individuals is 15.0% and for retail investors it is 35.0%.
The price band of the IPO is Rs 350.0 - 368.0.
The IPO application opens on Nov 02, 2022 and closes on Nov 04, 2022.
The minimum lot size for the IPO is 40. The maximum lot size for the IPO is 520.
For all category investors, the minimum application amount for this IPO is Rs. 14,720.0, the maximum value for this IPO is Rs 191,360.0.
This IPO will be allotted on Nov 10, 2022.
The refund will be credited to your account on Nov 11, 2022.
The allotted shares will be credited to your demat on Nov 14, 2022.
Fusion Micro Finance Ltd.’s shares listed on the stock exchanges on Nov 15, 2022.