One Mobikwik IPO 2024: Key Details, Dates, and Investment Guide
One Mobikwik Systems Limited, a prominent player in the fintech space, is set to launch its ₹572 Cr Initial Public Offering (IPO) from 11th December to 13th December 2024. December 11, 2024. This IPO offers a unique opportunity for investors to be part of a company driving India’s digital payment ecosystem and financial inclusion.
Here are 10 key things you should know before investing in the One Mobikwik Systems Limited IPO:
What makes One Mobikwik Systems Limited a good opportunity?
India’s digital transformation has sparked a surge in demand for convenient and innovative payment solutions. One Mobikwik Systems Limited, with its diversified fintech offerings, stands out as a key enabler of this transformation.
The company caters to 16.1 Cr registered users and 42 lakh merchants, providing solutions like prepaid digital wallets, UPI payments, credit facilities (MobiKwik ZIP), and more. Its robust ecosystem, supported by advanced technology and strategic partnerships, positions it well to capitalise on India’s growing digital economy.
What are the IPO dates, price band, and issue size?
Here is the critical information regarding the One Mobikwik Systems Limited IPO:
- IPO Dates: December 11th–13th, 2024
- IPO Listing Date: December 18th, 2024
- Price Band: ₹265 – ₹279 per share
- Total Issue Size: ₹572 Cr
- Face Value: ₹2 per share
- Listing Exchange: BSE, NSE
- Promoters: Bipin Preet Singh, Upasana Rupkrishan Taku, Koshur Family Trust, and Narinder Singh Family Trust.
What is the minimum investment for the One Mobikwik Systems Limited IPO?
The minimum investment required to apply for the Mobikwik Systems Limited IPO is ₹14,045, and the lot size for this IPO is 53 shares. However, we recommend applying for the IPO at the upper price band to increase your chances of getting the IPO, which is ₹14,787 (53 shares at the lower price band of ₹279).
What does the company do?
Incorporated in 2008, One Mobikwik Systems Limited is a fintech company offering digital wallets, UPI payments, and credit facilities. It also provides payment solutions for online and offline merchants, enabling users to pay bills, recharge, shop, and transfer money seamlessly.
Mobikwik’s flagship product, MobiKwik ZIP, allows users to buy now and pay later, catering to India’s growing middle-income population. The company also supports merchants with Merchant Cash Advance, driving financial inclusion and business growth.
What is the IPO objective?
The funds raised through the IPO will be utilised for:
- Funding organic growth in financial and payment services.
- Research and development in data, ML/AI, products, and technology.
- Capital expenditure for payment devices.
- General corporate purposes.
How much is the IPO reservation for retail and other investors?
The IPO allocation is as follows:
- Not more than 50% for Qualified Institutional Buyers (QIBs).
- Not less than 15% for non-institutional investors (NIIs).
- Not less than 35% for retail investors.
What are the key strengths and risks of investing in the One Mobikwik Systems Limited IPO?
IPO Strengths
- User-Centric Innovations: Products like MobiKwik ZIP achieve a 93% repeat usage rate, reflecting high customer engagement.
- Cost-Effective Growth: Strategic marketing ensures low customer acquisition costs (CAC).
- Strong Brand Presence: Trusted by millions for its user-friendly app and broad payment solutions.
- Technological Edge: Advanced cloud infrastructure and machine learning enable innovation at scale.
- Financial Inclusion Focus: Tailored solutions for underserved middle-income segments.
IPO Risks
- Regulatory Dependencies: Operations rely on approvals from the RBI for essential licenses.
- Cybersecurity Concerns: Data breaches pose a reputational and financial risk.
- Financial Stability: A history of inconsistent profitability raises concerns about sustainability.
- Competition: Low switching costs make customer retention challenging.
Can you share the financial performance of One Mobikwik Systems Limited?
Here’s a snapshot of Mobikwik’s recent financial performance (INR Cr):
| Period Ended | 30 Sep 2024 | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
| Assets | 908.10 Cr | 854.65 Cr | 714.33 Cr | 836.13 Cr |
| Revenue | 342.27 Cr | 875.00 Cr | 539.47 Cr | 526.57 Cr |
| Profit/(Loss) | 6.61 Cr | 14.08Cr | 83.81 Cr | 128.16 Cr |
What is the allotment date for the One Mobikwik Systems Limited IPO?
- Basis of Allotment: December 16, 2024
- Initiation of Refunds: December 17, 2024
- Credit of Shares: December 17, 2024
- Listing Date: December 18, 2024
Should you invest in the One Mobikwik Systems Limited IPO?
Mobikwik’s focus on innovation, financial inclusion, and scalability positions it as a strong contender in the fintech space. However, its reliance on regulatory approvals and inconsistent profitability could be concerning for risk-averse investors.
Investors are advised to assess their risk appetite and long-term goals before subscribing. The One Mobikwik Systems Limited IPO offers an opportunity to participate in India’s growing digital economy. Stay informed, and consider diversifying your portfolio for a balanced investment strategy.
