Usha Financial Services Ltd. was incorporated on May 16, 1995. The company is registered with the Reserve Bank of India as a non-systemically important, non-deposit taking NBFC-ICC. With over nine years of lending experience, it provides financing solutions to NBFCs, corporates, MSMEs, and individuals, focusing on women entrepreneurs and electric vehicle (EV) financing.
| Bidding Dates |
|---|
| 24 Oct 2024 - 28 Oct 2024 |
| Subscription |
|---|
| 17.96x Oversubscribed |
| Minimum Investment | Minimum Lot | Maximum Lot | Lot Size | Number of Shares | Issue Price Band | Post Issue Promoter Holding % | Issue Size | IPO Document |
|---|---|---|---|---|---|---|---|---|
| ₹1,28,000 | 1 | 1 | 800 | 5.9 M | ₹160 - ₹168 | 72.24 % | ₹937.6 M - ₹984.5 M | RHP DOC |
Usha Financial Services Ltd. IPO SUBSCRIPTION STATUS
28 Oct '24Usha Financial Services Ltd. IPO overall subscription rate was 17.96 times the total available shares
Usha Financial Services Ltd. IPO retail subscription rate was 27.39 times in the retail segment
Usha Financial Services Ltd. IPO non-institutional investor subscription rate was 38.18 times in the non-institutional investor category
Usha Financial Services Ltd. IPO Qualified Institutional Bidder subscription rate was 5.3 times the available shares for Qualified Institutional Bidder
| Day | Retail Individual Investor | HNI (NII) Investors | Qualified Institutional Buyers |
|---|---|---|---|
| Category Reservation | 35% | 15% | 50% |
28 Oct 2024 (Day 3) | 27.39x | 38.18x | 5.3x |
25 Oct 2024 (Day 2) | 6.09x | 4.79x | 0.57x |
24 Oct 2024 (Day 1) | 1.6x | 2.65x | 0.57x |
Usha Financial Services Ltd. 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) | Margins |
| H1FY25 | 50.4 | 265.1 | -44.3 | -55.9 | 66.9% |
| FY24 | 134.5 | 632.2 | 714.7 | 629.7 | 75.6% |
| FY23 | 101.7 | 456.3 | -1771.6 | -1769.9 | 77.9% |
| FY22 | 41.4 | 250.3 | -351.9 | -352.3 | 64.9% |
Usha Financial Services Ltd. IPO SUBSCRIPTION STATUS DETAILS
Usha Financial Services Ltd. had 5.9 M shares on offer
Usha Financial Services Ltd. IPO offer price was in the range ₹160 - ₹168
Usha Financial Services Ltd. IPO minimum Investment was ₹128000
Usha Financial Services Ltd. IPO issue size was ₹ 937.6 M - ₹ 984.5 M
Usha Financial Services Ltd. had a minimum lot size of 800 Shares per application
Usha Financial Services Ltd. NUMBER OF SHARES ON OFFER
Usha Financial Services Ltd. IPO IMPORTANT DATES
| Issue Open Date | 24 Oct 2024 |
| Issue close Date | 28 Oct 2024 |
| Allotment Date | 29 Oct 2024 |
| Refund Date | 30 Oct 2024 |
| Demat Account Credit Date | 30 Oct 2024 |
| Listing Date | 31 Oct 2024 |
| Listing on Exchange(s) | NSE |
| Usha Financial Services Ltd. Allotment Status | Exchange |
Usha Financial Services Ltd. IPO subscription opened on 24 Oct 2024, and closed on 28 Oct 2024
IPO allotment for Usha Financial Services Ltd. was finalized on Tuesday, 29 Oct 2024
IPO listing for Usha Financial Services Ltd. was on NSE on Thursday, 31 Oct 2024
Usha Financial Services Ltd. IPO LISTING GAINS
| Issue Price (adjusted) | 84.0 |
| Listing Open Price | 164.0 |
| Listing Close Price | 155.8 |
| Listing Gain% | -2.4% |
| Current Gain% | -52.7% |
Usha Financial Services Ltd. 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 % |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Usha Financial Services Ltd. | 39.7 | 86.3 | 7.7 | -0.4 | 2.4 | 9.8 | 5.2 | 71.3 | 17.6 | 22.5 | 62.7 | 5.2 | -18.6 |
| Bajaj Finance Ltd. | 1078 | 671157.9 | 33.1 | 2 | 7.8 | 16.7 | 3.4 | 81989.5 | 17.6 | 19017.4 | 14.3 | 32.6 | 16.5 |
| Shriram Finance Ltd. | 1115 | 262353.7 | 23.2 | 1.4 | 5.2 | 15.2 | 3.1 | 48192.6 | 15.1 | 10024.2 | 4.9 | 48.1 | 16.8 |
| Jio Financial Services Ltd. | 256.8 | 169568.7 | 82.1 | 3 | 34.6 | 1.2 | 1 | 3542.6 | 70.4 | 1560.9 | -3.2 | 3.1 | 27.2 |
| Cholamandalam Investment & Finance Company Ltd. | 1866.2 | 157282.2 | 27.3 | 0.9 | 4.8 | 17.2 | 2.1 | 31538.7 | 20.6 | 5232.6 | 22.8 | 68.2 | 29.1 |
| Tata Capital Ltd. | 370.3 | 157187.5 | 29.1 | 1 | 4.8 | 10.8 | 1.7 | 31582.6 | 11.3 | 4846.1 | 32.2 | 12.7 | 28.9 |
Usha Financial Services Ltd. INFORMATION ON IPO ISSUE
About Usha Financial Services Ltd.
Usha Financial Services Ltd. was incorporated on May 16, 1995. The company is registered with the Reserve Bank of India as a non-systemically important, non-deposit taking NBFC-ICC. With over nine years of lending experience, it provides financing solutions to NBFCs, corporates, MSMEs, and individuals, focusing on women entrepreneurs and electric vehicle (EV) financing.
Object of the Issue
- Augment the capital base of the company
- General corporate purposes
Usha Financial Services Ltd. - PROMOTERS
| Name |
|---|
| Rajesh Gupta |
| Anoop Garg |
| Geeta Goswami |
| Nupur Gupta |
Usha Financial Services Ltd. Lead Manager of the Issue
Narnolia Financial Services Limited
pankaj.passi@narnolia.com
Unistone Capital Private Limited
mb@unistonecapital.com
Usha Financial Services Ltd. Registrar to the issue
Skyline Financial Services Private Limited
compliances@skylinerta.com
Usha Financial Services Ltd. Strengths
Risk Management
The company has a Risk Management Committee responsible for identifying and mitigating business risks. Its customer due diligence involves multiple checks to assess product quality, repayment capacity, and cash flows, utilizing credit bureau data for verification
Business partnership
The company has established strategic agreements with several NBFCs and other entities, which are essential for its retail lending business. These partners leverage their networks to generate leads and identify potential borrowers, expanding the company’s reach across urban, semi-urban, and rural regions in India
Usha Financial Services Ltd. Risks
Capital requirements and financing risks
The business requires substantial capital, and any disruption in the cost and availability of that capital including its sources of financing could adversely affect its operations, financial condition, and cash flows
Dependence on borrower information
The business depends on the accuracy and completeness of information provided by its borrowers. Any misleading information from borrowers may affect the assessment of their creditworthiness, potentially leading to adverse effects on business operations, cash flows, and overall financial condition
Compliance with regulatory guidelines
The business is required to comply with guidelines issued by regulatory authorities in India, which are constantly evolving. This may lead to increased compliance costs and the potential for penalties
IPO FAQs
Usha Financial Services Ltd. IPO listing opened at Rs 164.00 while the issue price was Rs 168.00 giving -2.38% returns. After adjusting for subsequent bonus and splits, the stock trades at Rs 84.00 giving -52.74% gains since its IPO listing.
The promoters of the company are Rajesh Gupta, Anoop Garg, Geeta Goswami and Nupur Gupta.
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 160.0 - 168.0.
The IPO application opens on Oct 24, 2024 and closes on Oct 28, 2024.
The minimum lot size for the IPO is 800. The maximum lot size for the IPO is 800.
For all category investors, the minimum application amount for this IPO is Rs. 128,000.0, the maximum value for this IPO is Rs 134,400.0.
This IPO will be allotted on Oct 29, 2024.
The refund will be credited to your account on Oct 30, 2024.
The allotted shares will be credited to your demat on Oct 30, 2024.
Usha Financial Services Ltd.’s shares listed on the stock exchanges on Oct 31, 2024.