Nisus Finance Services IPO: GMP signals strong buzz as upcoming SME IPO kicks off next week

The Nisus Finance Services IPO opens for subscription on Wednesday, December 4 and closes on Friday, December 6. The IPO price of Nisus Finance Services is set in the range of ₹170 to ₹180 per equity share of face value of ₹10 each. Bids can be made for a minimum of 800 shares and thereafter in multiples of 800 shares.

Established in 2013, Nisus Finance Services Co Limited provides a range of financial services including transaction advisory services, fund and asset management, private equity, venture capital and capital solutions for corporate clients. The company operates in two main segments: Transaction Advisory Services and Fund and Asset Management. The main source of revenue comes from fund management fees earned by the fund manager or advisor entities for managing the alternative investment fund (AIF) pools.

According to the Red Herring Prospectus (RHP), Nisus Finance Services Co is currently promoted by Amit Anil Goenka and Mridula Amit Goenka. Together they bring more than 15 years of combined experience in real estate finance and capital markets, positioning the company well within the sector. Their expertise is likely to play an important role in determining the company’s strategic direction and driving the growth of its business.

“As we prepare for our IPO, this milestone marks a significant achievement for Nisus Finance, highlighting our progress and advancements in transaction advisory services and fund and asset management since our inception.

The upcoming IPO represents an exciting new chapter for our company. We believe an IPO will fuel the company’s growth by increasing operational capabilities, expanding market reach and strengthening our financial foundation. This move reinforces our commitment to delivering value and sets the foundation for our long-term growth,” said Amit Anil Goenka, Chairman and Managing Director.

The company operates in a unique niche with no listed peers in India or internationally. This absence makes it challenging to compare and evaluate our financial performance with other companies in the same industry.

Between the fiscal year ended March 31, 2024 and the fiscal year ended March 31, 2023, Nisus Finance Services Co. a 266.16% increase in sales and a 663.29% increase in profit after tax (PAT).

Nisus Finance Services IPO details

Nisus Finance Services IPO, which is worth it ₹114.24 crore, includes a fresh issue of 5,645,600 shares and an offer for sale (OFS) of 700,800 shares by the promoters selling shareholders.

The funds raised from this issuance will be spent on various strategic initiatives aimed at strengthening our operational framework. This includes improving our fund design, securing additional licenses and upgrading our facility and fund management infrastructure in key financial centers such as IFSC-Gift City, DIFC-Dubai and FSC-Mauritius.

In addition, the company will allocate resources to cover fundraising costs and placement fees for both domestic and international markets. A portion of the proceeds will also be invested in our associate company, Nisus Fincorp Private Ltd, to strengthen the capital base. Finally, the remainder of the funds will be used for general corporate purposes to support our growth and operational needs.

Beeline Capital Advisors Pvt Ltd is the book running lead manager for the IPO of Nisus Finance Services. The registrar for the issue is Skyline Financial Services Private Ltd, and Spread X Securities is acting as market maker for the IPO.

Nisus Financial Services IPO GMP today

Nisus Finance Services IPO GMP is +50 today. This indicates that Nisus Finance Services share price is at a premium of ₹50 on the gray market, according to investorgain.com.

Taking into account the upper end of the IPO price range and the current gray market premium, the estimated listing price of the Nisus Finance Services share price is indicated at ₹230 per piece, which is 27.78% higher than the IPO price of ₹180.

Based on the last twenty sessions of gray market activity, today’s IPO GMP is trending upward, suggesting a strong listing is in store. The lowest recorded GMP is ₹0, while the highest is ₹50, according to experts at investorgain.com.

The ‘gray market premium’ indicates that investors are willing to pay more than the issue price.

Disclaimer: The above views and recommendations are those of individual analysts, experts and brokerage firms, not Mint. We advise investors to contact certified experts before making an investment decision.