Aasaan Loans, or AKME Fintrade India, a non-banking financial company opened its IPO on June 19 to investors and closed it on June 21. The company raised Rs 132 crore from investors.
Grey Market Premium
The company’s shares were fetching a premium of 13% in the grey market. It is an unofficial place where shares trade in an illegal way ahead of listing. Market participants keep an eye on the GMP to track listing gains. The shares are primarily traded in cash.
Price Band and Minimum Investment:
Aasaan Loans kept the IPO price band in a range of Rs 114 to Rs 120 per equity share. Retail purchasers must submit an application for a minimum of one lot, consisting of 125 shares, valued at Rs 15,000, per lot. While the lot sizes are different for NIIs and QIBs.
Registrar and BRLM
Gretex Corporate Services was chosen as the book-running lead manager, while Bigshare Services handled the role of registrar for the issue.
About Aasaan Loans (AKME Fintrade)
With a focus on customer satisfaction and a thorough understanding of its target market, Akme Fintrade (India) provides loans to small businesses and is in the business of vehicle financing. In addition to the Hub and Spoke business model, which increases efficiency and lowers costs, the company has access to a variety of capital sources and efficient asset-liability management techniques.
Expert’s Take on AKME Fintrade
If the upper price band is taken into consideration then the company is valued at a P/E of 27.64x and P/BV of 1.52x, with a market cap of Rs 5,121 million post-issue of equity shares and return on net worth of 7.72%. “We believe that the IPO is fairly priced and recommend a “Subscribe for Long Term” rating to the IPO,” said Anand Rathi in an IPO note.
What is Listing?
A listing is basically the admission of IPO shares on the stock exchanges for trading in the public market, becoming a part of the secondary market.
