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MUTHOOT MICROFIN LIMITED INITIAL PUBLIC OFFERING OPENS ON MONDAY, DECEMBER 18, 2023

  • Price Band fixed at ₹ 277 to ₹ 291 per equity share of face value of ₹ 10 each (“Equity Share”)
  • Bid/ Offer will open on Monday, December 18, 2023 and close on Wednesday, December 20, 2023. The Anchor Investor Bidding Date shall be Friday, December 15, 2023;
  • Bids can be made for a minimum of 51 Equity Shares and in multiples of 51 Equity Shares thereafter

Ahmedabad, December 14, 2023: Muthoot Microfin Limited (the “Company”), shall open its initial public offering of Equity Shares face value ₹ 10 on Monday, December 18, 2023.

The Anchor Investor Bidding Date shall be Friday, December 15, 2023.  The Offer will open on Monday, December 18, 2023 for subscription and will close on Wednesday, December 20, 2023.

The Price Band of the Offer has been fixed at ₹ 277 to ₹ 291 per Equity Share. Bids can be made for a minimum of 51 Equity Shares and in multiples of 51 Equity Shares thereafter.

The Company plans to raise funds through initial public offering with total offer size aggregating  to ₹  9,600 million (₹ 960 crore). The total offer size comprises of fresh issue of Equity Shares aggregating to ₹ 7,600 million (₹ 760 crore) and offer of Equity Shares aggregating to ₹ 2,000 million (₹ 200 crore) by the selling shareholders.

The Company proposes to utilize the Net Proceeds from the Fresh Issue towards augmenting its capital base to meet future capital requirements.

The offer for sale comprises of Equity Shares by Thomas John Muthoot aggregating to 163.63 million (₹ 16.36 crore), by Thomas Muthoot aggregating to 163.84 million(₹ 16.38 crore), by Thomas George Muthoot aggregating to₹ 163. 61 million (₹ 16.36 crore), by Preethi John Muthoot aggregating to₹ 337.39 million (₹ 33.74 crore), by Remmy Thomas aggregating to₹ 333.87 million (₹ 33.39 crore), by Nina George aggregating to337.66 million (₹ 33.77 crore) (“The Promoter Selling Shareholders”), by Greater Pacific Capital WIV Ltd aggregating to ₹ 500 million (₹ 50 crore) (The “Investor Selling Shareholders”).

The Equity Shares are being offered through the red herring prospectus dated December 11, 2023 (“RHP”) filed with the Registrar of Companies, Maharashtra at Mumbai (“RoC”).

The Equity Shares that will be offered through the Red Herring Prospectus are proposed to be listed on the Stock Exchanges being BSE Limited (“BSE) and National Stock Exchange of India Limited (“NSE”). For the purposes of the Offer, BSE shall be the Designated Stock Exchange.

The Offer is being made in terms of Rule 19(2)(b) of the SCRR read with Regulation 31 of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended (“SEBI ICDR Regulations”). The Offer is being made through the Book Building Process and is in compliance with Regulation 6(1) of the SEBI ICDR Regulationswherein in terms of Regulation 32(1) of the SEBI ICDR Regulations, not more than 50% of the Net Offer shall be available for allocation on a proportionate basis to Qualified Institutional Buyers (“QIBs”, and such portion, the “QIB Portion”) providedthat our Company, acting through its IPO Committee in consultation with the BRLMs, may allocate up to 60% of the QIB Portion to Anchor Investors on a discretionary basis in accordance with the SEBI ICDR Regulations (“Anchor Investor Portion”),of which at least one-third shall be available for allocation to domestic Mutual Funds, subject to valid Bids being received from domestic Mutual Funds at or above the Anchor Investor Allocation Price. In the event of under-subscription or non-allocationin the Anchor Investor Portion, the balance Equity Shares shall be added to the Net QIB Portion.

Further, 5% of the Net QIB Portion shall be available for allocation on a proportionate basis only to Mutual Funds and the remainder of the Net QIB Portion shall be available for allocation on a proportionate basis to all QIB Bidders (other than Anchor Investors) including Mutual Funds, subject to valid Bids being received at or above the Offer Price. However, if the aggregate demand from Mutual Funds isless than 5% of the QIB Portion, the balance Equity Shares available for allocation in the Mutual Fund Portion will be added to the remaining QIB Portion for proportionate allocation to QIBs.

Further, not less than 15% of the Net Offer shall be available for allocation to Non-Institutional Bidders out of which (a) one-third of such portion shall be reserved for applicants with application size of more than ₹200,000 and up to ₹1,000,000; and (b) two-third of such portion shall be reserved for applicants with application size of more than ₹1,000,000, provided that the unsubscribed portion in either of such sub-categories may be allocated to applicants in the other sub-category of Non-Institutional Bidders and not less than 35% of the Net Offer shall be availablefor allocation to Retail Individual Bidders (“RIBs”) in accordance with the SEBI ICDR Regulations, subject to valid Bids being received from them at or above the Offer Price.Further, Equity Shares will be allocated on a proportionate basis to Eligible Employees applying under the Employee Reservation Portion, subject to valid Bids received from them at or above the Offer Price.

All potential Bidders (except Anchor Investors) are required to mandatorily utilize the Application Supported by BlockedAmount (“ASBA”) process by providing details of their respective bank accounts (including UPI ID for UPI Bidders using UPI Mechanism) (as defined hereinafter) in which the Bid amount will be blocked by the SCSBs or the Sponsor Banks, as applicable, to participate in the Offer. Anchor Investors are not permitted to participate in the Anchor Investor Portion of the Offer through the ASBA process. For details, see “Offer Procedure” on page 471 of the RHP.

ICICI Securities Limited, Axis Capital Limited, JM Financial Limited and SBI Capital Markets Limited are the book running lead managers to the Offer.

All capitalized terms referred to in this press release that have not been defined shall have the same meaning as prescribed in the RHP.

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