MobiKwik IPO Listing: Shares end trading debut with gains of 90%

Shares of One MobiKwik Systems Ltd., parent company of payments solutions provider MobiKwik listed at a 58% premium to its IPO price of ₹279. The stock ended its first day as a public company with gains of 90%.

The stock listed at ₹440 per share, while the Grey Market Premium (GMP), was indicating an upside of ₹166 from the IPO price.

GMP is only a speculative price and never an indication of the actual listing price.

The ₹572 crore IPO, which was a complete fresh share issue, saw strong demand from investors during the three-day bidding process.

The IPO saw overall subscription of close to 120 times the total shares on offer, resulting in bids worth nearly ₹40,000 crore.

All three investor categories placed bids worth over 100 times the total number of shares on offer for each category.

The portion reserved for institutional investors (QIBs) was subscribed 119.5 times the shares on offer.

The portion reserved for Non-Institutional Investors was subscribed 109 times.

Retail bid heavily in the MobiKwik IPO, with their portion seeing subscription of 134.67 times the shares on offer.

MobiKwik is involved in the following businesses:

Payments: The increase in the number of consumers leads to greater acceptance among Merchants, and vice-versa.
Consumer Credit: The growth in payments data facilitates broader consumer underwriting. The availability of credit products to consumers leads to heightened spending within the network.
Investments: Utilizing personal financial management tools like Lens allows for a detailed comprehension of consumers’ financial data, resulting in personalized recommendations of investment products.