Incorporated in 1994, Fusion Micro Finance Ltd is engaged in providing financial services to women entrepreneurs belonging to the economically and socially deprived section of the society. The company’s responsibilities are not restricted merely to financial support, but also to acquaint the clients to manage their finances by disseminating Financial Literacy to them.
Fusion Micro Finance Ltd is one of the youngest companies among the top 10 NBFC-MFIs in India in terms of AUM as of June 30, 2022.
The company have achieved a significant footprint across India, where the company have extended its reach to 2.90 million active borrowers which were served through our network of 966 branches and 9,262 permanent employees spread across 377 districts in 19 states and union territories in India, as of June 30, 2022.
The company’s business runs on a joint liability group-lending model, wherein a small number of women form a group (typically comprising five to seven members) and guarantee one another’s loans.
As of June 30, 2022 and March 31, 2022, 2021 and 2020, our total AUM was Rs. 73,890.23 million, Rs. 67,859.71 million, Rs. 46,378.39 million and Rs. 36,065.24 million, respectively.
Competitive Strengths:
- Well Diversified and Extensive Pan-India Presence.
- Proven Execution Capabilities with Strong Rural Focus.
- Access to Diversified Sources of Capital and Effective Asset Liability Management.
Company Financials
| Period Ended | Total Assets | Total Revenue | Profit After Tax | Net Worth | Total Borrowing |
|---|---|---|---|---|---|
| 31-Mar-20 | 4239.99 | 730.31 | 69.61 | 1198.89 | 2973.68 |
| 31-Mar-21 | 5837.93 | 873.09 | 43.94 | 1246.36 | 4432.25 |
| 30-Jun-21 | 5824.87 | 264.96 | 4.41 | 1251.65 | 4422.65 |
| 31-Mar-22 | 7290.48 | 1201.35 | 21.76 | 1337.95 | 5775.81 |
| 30-Jun-22 | 7615.24 | 360.45 | 75.1 | 1416.46 | 6009.97 |
| Amount in ₹ Crore |
Objects of the Issue
The Selling Shareholders will be entitled to their respective portion of the proceeds of the Offer for Sale.
Objects of the Fresh Issue :
1. Augment the capital base of the Company.
Fusion Micro Finance IPO Details
| IPO Date | Nov 2, 2022 to Nov 4, 2022 |
| Listing Date | [.] |
| Face Value | ₹10 per share |
| Price | ₹350 to ₹368 per share |
| Lot Size | 40 Shares |
| Issue Size | [.] shares of ₹10 (aggregating up to ₹1,103.99 Cr) |
| Fresh Issue | [.] shares of ₹10 (aggregating up to ₹600.00 Cr) |
| Offer for Sale | 13,695,466 shares of ₹10 (aggregating up to ₹[.] Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| QIB Shares Offered | Not more than 50% of the Net Offer |
| NII (HNI) Shares Offered | Not less than 15% of the Net Offer |
| Retail Shares Offered | Not less than 35% of the Offer |
| Company Promoters | The promoters of the Company, namely, Devesh Sachdev, Creation Investments Fusion, LLC, Creation Investments Fusion II, LLC and Honey Rose Investment Ltd |
Fusion Micro Finance IPO Tentative Timetable
Fusion Micro Finance IPO opens on Nov 2, 2022, and closes on Nov 4, 2022. The Fusion Micro Finance IPO bid date is from Nov 2, 2022 10.00 A.M. to Nov 4, 2022 5.00 P.M. The Cut-off time for UPI Mandate confirmation is 5 PM on the issue closing day.
| Event | Tentative Date |
|---|---|
| Opening Date | Nov 2, 2022 |
| Closing Date | Nov 4, 2022 |
| Basis of Allotment | Nov 10, 2022 |
| Initiation of Refunds | Nov 11, 2022 |
| Credit of Shares to Demat | Nov 14, 2022 |
| Listing Date | Nov 15, 2022 |
Fusion Micro Finance IPO Lot Size
The Fusion Micro Finance IPO lot size is 40 shares. A retail-individual investor can apply for up to 13 lots (520 shares or ₹191,360).
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 40 | ₹14,720 |
| Retail (Max) | 13 | 520 | ₹191,360 |
| S-HNI (Min) | 14 | 560 | ₹206,080 |
| B-HNI (Min) | 68 | 2,720 | ₹1,000,960 |
Fusion Micro Finance IPO Promoter Holding
| Pre Issue Share Holding | 85.57% |
| Post Issue Share Holding |
Fusion Micro Finance IPO Review
Over the years, the company has gained credentials to be among the first two MFIs in India. Though it marked growth in top lines, it posted declining profits amidst the pandemic, natural calamities, and expansion spending from FY20 to FY22. It is on a recovery path as indicated by Q1 of FY23 and based on these earnings, the issue is lucratively priced. Investors may consider an investment with a medium to long-term perspective. Read detail review…
Fusion Micro Finance IPO Prospectus
Company Contact Information
Fusion Micro Finance Limited
H-1, C Block,
Community Centre, Naraina Vihar,
New Delhi, 110028
Phone: +91- 011-46646600
Email: companysecretary@fusionmicrofinance.com
Website: https://fusionmicrofinance.com/
Fusion Micro Finance IPO Registrar
Link Intime India Private Ltd
Phone: +91-22-4918 6270
Email: fusion.ipo@linkintime.co.in
Website: https://linkintime.co.in/