New Delhi: Asirvad Micro Finance, a subsidiary of listed NBFC Manappuram Finance on Thursday filed preliminary papers with capital market regulator Sebi to garner Rs1,500 crore through an initial public offering (IPO).
The maiden public issue is purely a fresh issue of equity shares with no offer-for-sale (OFS) component, according to the draft red herring prospectus (DRHP). Also, the company plans to raise up to Rs300 crore in a pre-IPO round. If such placement is completed, the fresh issue size will be reduced. Going by the draft papers, proceeds from the issue will be used to augment the capital base of the company to meet future business requirements.
Asirvad Micro Finance, which began its journey in 2008 with just two branches in Tamil Nadu, has expanded its reach across India over the years. It has presence across 22 States and 4 UTs through a network of 1,684 branches as on March 31, 2023. It caters to 3.25 million active borrowers in the microfinance portfolio that constitutes a majority of its assets under management. It also caters to loan against gold and MSME loans.
