Nisus Finance Services Makes Strong Debut on BSE SME Platform

On Wednesday, November 11, Nisus Finance Services Co made its debut on the BSE SME platform, with its shares listing at ₹225 apiece, a 25% premium to the issue price of ₹180. This strong listing performance follows the overwhelming demand for the company’s initial public offer (IPO), which was subscribed an impressive 192.29 times during the subscription period from December 4 to December 6.

Subscription Details:

The IPO saw robust interest across all investor categories:

• The retail portion was subscribed 139.78 times,
• The non-institutional investor (NII) portion was oversubscribed by 451.21 times,
• The qualified institutional buyer (QIB) quota was subscribed 93.84 times.

This level of demand underscores investor confidence in Nisus Finance Services and its future growth prospects.

Company Overview and IPO Details:

The Nisus Finance Services IPO was priced in the range of ₹170 to ₹180 per share. The issue was a combination of a fresh issue of ₹101.62 crore and an offer for sale (OFS) of ₹12.61 crore, aggregating to ₹114.24 crore.

Promoter Amit Anil Goenka was the selling shareholder in the offer.

The company plans to utilize the fresh funds raised from the IPO for several key purposes, including:

• Augmenting its fund setup, acquiring additional licenses, and enhancing facility management services at IFSC-Gift City (Gandhinagar), DIFC-Dubai, and FSC-Mauritius.
• Financing fundraising costs, distribution, and placement fees to third-party distributors in both domestic and international markets.
• Investing in its subsidiary, Nisus Fincorp Private Limited (an RBI-registered NBFC), to augment its capital base and support general corporate purposes.

Growth and Financial Performance:

Nisus Finance Services has demonstrated substantial growth, particularly in its fund business. As of FY 2023-24, the company managed assets worth ₹10 billion, up from just ₹1.32 billion in FY 2021, representing a CAGR of approximately 96%.

Additionally, for the financial year ending March 31, 2024, the company reported a revenue surge of 266.16% and a profit after tax (PAT) growth of 663.29% compared to the previous fiscal year.

Conclusion:

Nisus Finance Services' IPO has been a remarkable success, reflecting strong investor interest and confidence in the company’s business model. With the listing of its shares on the BSE SME platform, the company is poised for growth and expansion in the coming years, backed by its solid financial performance and strategic use of IPO proceeds.

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