One Mobikwik Systems Ltd IPO

Upcoming DRHP

IPO Synopsis

IPO Synopsis:
The issue size of the IPO is Rs.1,900 crore which includes a fresh issue of Rs.1,500 crore and OFS of Rs.400 crore. The book running lead managers to the issue are IIFL Securities, Credit Suisse Securities, BNP Paribas, ICICI Securities and Jefferies India Pvt Ltd. 
The promoters are Bipin Preet Singh, Upasana Rupkrishan Taku, Koshur Family Trust and Narinder Singh Family Trust.


Objectives of the issue:
1. For the funding of organic and inorganic growth
2. For general corporate purposes

About One Mobikwik Systems Ltd

MobiKwik, a fintech company is one of the leading mobile wallets and Buy Now Pay Later (BNPL) players in the country, in terms of GMV. The company’s business is divided into 3 main segments-
1. BPNL
2. Consumer payments
3. Payment gateway
The operations were started in 2009 with MobiKwik Wallet to enable people to load money into their online wallets and then efficiently pay their utility bills using that money. In 2012, a payment gateway called Zaakpay was developed, to enable online websites and other mobile apps to collect the payment from the users. MobiKwik Zip, the company’s first BNPL product was launched in 2019 with the Indian middle class as the target audience. They have 22.5 million users of MobiKwik Zip as of 31 March 2021 and the repeat user rate stood at 79.19%.
MobiKwik has over 101.37 million users, as on March 31, 2020, and more than 3.44 million e-commerce, physical retail and biller partners. As of 31 March 2021, the company has over 3.44 million merchants accepting payments through the MobiKwik wallet. The number of registered users has grown at a CAGR of 25.70% between the period of FY19 and FY21. 

Financials:

 

Particulars

(In Rs cr)

FY21

FY20

FY19

Revenue

288.57

355.67

148.47

PAT

-111.3

-99.92

-147.97

EPS (In Rs)

-22.18

-20.45

-31.01

 

Particulars

(In Rs cr)

FY21

FY20

FY19

Total Assets

423.14

337.94

335.08

Total Borrowings

60.6

76.47

86.43

Equity Share Capital

1

1

1


The key points are-

IPO Key Points

  • Strengths

    1. A very strong brand image and brand recall among customers due to its early entry in the e-wallets market in 2009
    2. The company is innovation driven and powered by the latest technology
    3. A strong business network which benefits the company and leads to growth across all the business verticals 

  • Risks

    1. There have been security breaches very recently which have hampered the trust that people have in the company
    2. If the company is unable to attract new merchants and new customers, and retain the existing ones, it will stunt the growth of MobiKwik
    3. The fintech industry is highly competitive and MobiKwik has to keep an eye on the competitors
     

How to apply for IPO?

  • Login to your 5paisa account and select the issue in the current IPO section

  • Enter the number of lots and price at which you wish to apply for

  • Enter your UPI ID and click on submit. With this, your bid will be placed with the exchange

  • You will receive a mandate notification to block funds in your UPI app

  • Approve the mandate request on your UPI and funds will be blocked

IPO Related Articles

Digital dominates as MobiKwik all set for IPO

It looks like the new age of digital IPOs. After Zomato announced the opening of its IPO on 14 July, many more digital players will use this digital trend to make ...Read More

  • 5paisa Research Team
  • 13 Jul 2021

MobiKwik Puts Off its Rs.1,900 crore IPO After Paytm Scare

The weak listing of the Paytm IPO may have had its first casualty in the form of a digital IPO being put off. MobiKwik has...Read More

  • 5paisa Research Team
  • 24 Nov 2021

Upcoming IPOs in 2022 : LIC, VLCC, OYO, Snapdeal, Adani Wilmar, Go Air, Baj

The year 2021 has been an exciting year for IPOs. A total of 65 IPOs collected a sum of over Rs.131,000 crore (including 1 REIT issue and 1 INVIT issue). All the issues got oversubscribed during th...Read More

  • 5paisa Research Team
  • 30 Dec 2021