Bookbuilding IPO | ₹777 Cr | Listed at BSE, NSE | Mon, Sep 16, 2024 - Thu, Sep 19, 2024
Northern Arc Capital IPO is a book build issue of ₹777.00 crores. The issue is a combination of fresh issue of 1.91 crore shares aggregating to ₹500.50 crores and offer for sale of 1.05 crore shares aggregating to ₹276.50 crores.
Northern Arc Capital IPO bidding started from Sep 16, 2024 and ended on Sep 19, 2024. The allotment for Northern Arc Capital IPO was finalized on Sep 20, 2024. The shares got listed on BSE, NSE on Sep 24, 2024.
Northern Arc Capital IPO price band is set at ₹263 per share. The lot size for an application is 57. The minimum amount of investment required by an retail is ₹14,991 (57 shares) (based on upper price). The lot size investment for sNII is 14 lots (798 shares), amounting to ₹2,09,874, and for bNII, it is 67 lots (3,819 shares), amounting to ₹10,04,397.
The issue includes a reservation of up to 5,90,874 shares for employees offered at a discount of ₹24.00 to the issue price.
ICICI Securities Ltd. is the book running lead manager and Kfin Technologies Ltd. is the registrar of the issue.
Refer to Northern Arc Capital IPO RHP for detailed Information.
IPO Open
Mon, Sep 16, 2024
IPO Close
Thu, Sep 19, 2024
Issue Price
₹263 per share
Market Cap (Pre-IPO)
₹4,242.86 Cr
| IPO Date | 16 to 19 Sep, 2024 |
| Listed on | Tue, Sep 24, 2024 |
| Face Value | ₹10 per share |
| Price Band | ₹249 to ₹263 |
| Issue Price | ₹263 per share |
| Lot Size | 57 Shares |
| Sale Type | Fresh capital cum OFS |
| Issue Type | Bookbuilding IPO |
| Listing At | BSE, NSE |
| Employee Discount | ₹24.00 |
| Total Issue Size | 2,95,97,646 shares (agg. up to ₹777 Cr) |
| Fresh Issue | 1,90,65,326 shares (agg. up to ₹501 Cr) |
| Offer for Sale | 1,05,32,320 shares of ₹10 (agg. up to ₹276 Cr) |
| Share Holding Pre Issue | 14,23,14,010 shares |
| Share Holding Post Issue | 16,13,25,417 shares |
| BSE Script Code / NSE Symbol | 544260 / NORTHARC |
| ISIN | INE850M01015 |
Northern Arc Capital IPO offers total 2,95,97,646 shares. Out of which 1,45,03,385 (49.00%) allocated to QIB, 58,01,354 (19.60%) allocated to QIB (Ex- Anchor), 43,51,016 (14.70%) allocated to NII 1,01,52,371 (34.30%) allocated to RII and 87,02,031 (29.40%) allocated to Anchor investors.
| Investor Category | Shares Offered | Max Allottees |
|---|---|---|
| QIB Shares Offered | 1,45,03,385 (49.00%) | NA |
| − Anchor Investor Shares Offered | 87,02,031 (29.40%) | NA |
| − QIB (Ex. Anchor) Shares Offered | 58,01,354 (19.60%) | NA |
| NII (HNI) Shares Offered | 43,51,016 (14.70%) | NA |
| − bNII > ₹10L | 29,00,677 (9.80%) | 3,634 |
| − sNII < ₹10L | 14,50,339 (4.90%) | 1,817 |
| Retail Shares Offered | 1,01,52,371 (34.30%) | 1,78,111 |
| Employee Shares Offered | 5,90,874 (2.00%) | NA |
| Total Shares Offered | 2,95,97,646 (100.00%) |
Investors can bid for a minimum of 57 shares and in multiples thereof.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 57 | ₹14,991 |
| Retail (Max) | 13 | 741 | ₹1,94,883 |
| S-HNI (Min) | 14 | 798 | ₹2,09,874 |
| S-HNI (Max) | 66 | 3,762 | ₹9,89,406 |
| B-HNI (Min) | 67 | 3,819 | ₹10,04,397 |
Northern Arc Capital IPO raises ₹228.86 crore from anchor investors. Northern Arc Capital IPO Anchor bid date is September 13, 2024.
📝 Anchor Investors Letter (PDF)
| Bid Date | Fri, Sep 13, 2024 |
| Shares Offered | 87,02,031 |
| Anchor Portion (₹ Cr.) | 228.86 |
| Anchor lock-in period end date for 50% shares (30 Days) | Sat, Oct 19, 2024 |
| Anchor lock-in period end date for remaining shares (90 Days) | Wed, Dec 18, 2024 |
| Application Category | Maximum Bidding Limits | Bidding at Cut-off Price Allowed |
|---|---|---|
| Only RII | Up to Rs 2 Lakhs | Yes |
| Only sNII | Rs 2 Lakhs to Rs 10 Lakhs | No |
| Only bNII | Rs 10 Lakhs to NII Reservation Portion | No |
| Only employee | Yes | |
| Employee + RII/NII |
|
Yes for Employee and RII/NII |
Northern Arc Capital Limited was founded in 2009 and offers retail loans to underserved households and businesses in India.
Northern Arc Capital's business model is diversified across different offerings, sectors, products, geographies, and borrower categories. As of March 31, 2024, the company has facilitated over Rs. 1.73 trillion worth of financing, reaching out to over 101.82 million people across India.
The company has expertise in lending across various focus sectors in India, especially in micro, small, and medium enterprise (MSME) finance, microfinance (MFI), consumer finance, vehicle finance, affordable housing finance, and agriculture finance. The company has been active in MSME finance for over 14 years, MFI finance for 15 years and consumer finance for nine years.
The company serves the retail lending market through a multi-channel approach that includes:
The company also has an end-to-end integrated technology product suite customized to multiple sectors. This includes an in-house technology stack consisting (i) Nimbus, a curated debt platform that enables end-to-end processing of debt transactions; (ii) nPOS, a co-lending and co-origination technology solution based on application programming interfaces (API); (iii) Nu Score, a customized machine learning based analytical module designed to assist originator partners in the loan underwriting process; and (iv) AltiFi, an alternative retail debt investment platform.
As of March 31, 2024, the company had 2,695 permanent employees.
| Period Ended | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
|---|---|---|---|
| Assets | 11,707.66 | 9,371.57 | 7,974.12 |
| Total Income | 1,906.03 | 1,311.20 | 916.55 |
| Profit After Tax | 317.69 | 242.21 | 181.94 |
| NET Worth | 2,314.35 | 1,955.39 | 1,739.04 |
| Reserves and Surplus | 2,123.37 | 1,784.22 | 1,555.30 |
| Total Borrowing | 9,047.76 | 7,034.57 | 5,982.96 |
| Amount in ₹ Crore | |||
The Company proposes to utilise the Net Proceeds from the Issue towards the following objects:
| # | Issue Objects | Est Amt (₹ Cr.) |
|---|---|---|
| 1 | Future capital requirements towards onward lending. | 500.00 |
| KPI | Mar 31, 2024 |
|---|---|
| Debt/Equity | 3.90 |
| RoNW | 13.32% |
| Price to Book Value | 1.49 |
| Pre IPO | Post IPO | |
|---|---|---|
| EPS (₹) | 22.32 | 19.69 |
| P/E (x) | 11.78 | 13.36 |
| Market Cap | ₹4,242.86 Cr. |
The Northern Arc Capital IPO is subscribed 117.19 times on September 19, 2024 6:16:11 PM (Day 4). The public issue subscribed 32.01 times in the retail category, 242.73 times in the QIB category, and 147.58 times in the NII category. Check Day by Day Subscription Details (Live Status)
| Category | Subscription (times) | Shares Offered | Shares bid for |
|---|---|---|---|
| QIB | 242.73 | 58,01,354 | 1,40,81,33,928 |
| NII | 147.58 | 43,51,016 | 64,21,24,665 |
| bNII (bids above ₹10L) | 160.48 | 29,00,678 | 46,54,93,635 |
| sNII (bids below ₹10L) | 121.79 | 14,50,338 | 17,66,31,030 |
| Retail | 32.01 | 1,01,52,384 | 32,49,69,882 |
| Total | 117.19 | 2,03,04,754 | 2,37,95,07,465 |
Total Application : 52,56,107
| # | Issue Expenses | Est Amt (₹ Cr.) |
|---|---|---|
| 1 | BRLMs' fees and commissions (including underwriting commission, brokerage and selling commission) | 36.33 |
| 2 | Selling commission/processing fee for SCSBs, Banker to the Offer, Sponsor Banks and fee payable to the Sponsor Banks for Bids made by UPI Bidders(2)(3)(4) | 3.26 |
| 3 | Fees payable to the Registrar to the Offer | 1.20 |
| 4 | Fee payable to other parties, including but not limited to auditors, independent chartered accountants and independent third party research agencies | 7.43 |
| 5 | Listing fees, SEBI filing fees, upload fees, BSE and NSE processing fees, book building software fees and other regulatory expenses | 6.89 |
| 6 | Printing and stationery expenses | 1.34 |
| 7 | Advertising and marketing expenses | 8.85 |
| 8 | Fees payable to legal counsel | 7.73 |
| 9 | Miscellaneous | 4.85 |
| Price Details | BSE | NSE |
|---|---|---|
| Final Issue Price | ₹263.00 | ₹263.00 |
| Open | ₹351.00 | ₹350.00 |
| Low | ₹308.15 | ₹308.20 |
| High | ₹351.00 | ₹350.00 |
| Last Trade | ₹323.60 | ₹323.40 |
Northern Arc Capital IPO is a main-board IPO of 2,95,97,646 equity shares of the face value of ₹10 aggregating up to ₹777 Crores. The issue is priced at ₹263 per share. The minimum order quantity is 57.
The IPO opens on Mon, Sep 16, 2024, and closes on Thu, Sep 19, 2024.
Kfin Technologies Ltd. is the registrar for the IPO. The shares are proposed to be listed on BSE, NSE.
Zerodha customers can apply online in Northern Arc Capital IPO using UPI as a payment gateway. Zerodha customers can apply in Northern Arc Capital IPO by login into Zerodha Console (back office) and submitting an IPO application form.
Steps to apply in Northern Arc Capital IPO through Zerodha
Visit Zerodha IPO Application Process Review for more detail.
The Northern Arc Capital IPO opens on Mon, Sep 16, 2024 and closes on Thu, Sep 19, 2024.
Northern Arc Capital IPO lot size is 57, and the minimum amount required for application is ₹14,991.
You can apply in Northern Arc Capital IPO online using either UPI or ASBA as a payment method. ASBA IPO application is available in the net banking of your bank account. UPI IPO Application is offered by brokers who don't offer banking services. Read more detail about applying IPO online through Zerodha, Upstox, 5Paisa, Nuvama, HDFC Bank, and SBI Bank.
The finalization of Basis of Allotment for Northern Arc Capital IPO will be done on Friday, September 20, 2024, and the allotted shares will be credited to your demat account by Mon, Sep 23, 2024. Check the Northern Arc Capital IPO allotment status.
The Northern Arc Capital IPO listing date is on Tue, Sep 24, 2024.
