11-Dec-2023
2 mins read
The upcoming IPO of India Shelter Finance is a book-built offering totalling Rs 1,200.00 crores. This includes a fresh issue of 1.62 crore shares, amounting to Rs 800.00 crores, alongside an offer for sale of 0.81 crore shares, valued at Rs 400.00 crores.
Set to open for subscription on December 13, 2023, and closing on December 15, 2023, the India Shelter Finance IPO’s allotment is slated for December 18, 2023. The shares are expected to be listed on the BSE and NSE, with a provisional listing date of December 20, 2023.
The IPO’s price range is fixed between Rs 469 to Rs 493 per share. Retail investors can apply for a minimum lot size of 30 shares, requiring an investment of Rs 14,790. For small Non-Institutional Investors (sNII), the minimum lot size is 14 lots (420 shares), equating to Rs 207,060, while for big Non-Institutional Investors (bNII), it’s 68 lots (2,040 shares), resulting in an investment of Rs 1,005,720.
The book-running lead managers for this IPO include ICICI Securities Limited, Citigroup Global Markets India Private Limited, Kotak Mahindra Capital Company Limited, and Ambit Private Limited. Kfin Technologies Limited has been appointed as the registrar for the issue.
India Shelter Finance Corporation Product Portfolio
Founded in 1998, India Shelter Finance Corporation Limited specializes in housing finance services. The company offers a range of loans for various purposes, including the construction of houses, home extensions, renovations, and the acquisition of new homes or land. Additionally, it provides loans against property (LAP).
India Shelter Finance caters to its customers with loan offerings ranging from Rs. 5 Lakhs to Rs. 50 Lakhs, with repayment terms extending up to 20 years. As of November 30, 2023, the company has successfully disbursed loans exceeding Rs. 5500 Crores, aiding numerous families in purchasing, expanding, or refurbishing their homes.
With a growing network, the company operates 183 branches across 15 states, including significant operations in Rajasthan, Maharashtra, Madhya Pradesh, Karnataka, and Gujarat. This network has seen substantial growth, increasing from 115 branches as of March 31, 2021, to 130 by March 31, 2022, and reaching 183 by March 31, 2023.
As of the end of March 2023, India Shelter Finance Corporation Limited boasts a dedicated team of over 300 collection officers.
The Objectives of India Shelter Finance Corporation Limited IPO
India Shelter Finance Corporation Limited plans to allocate the proceeds from their issuance for two main purposes. A significant portion of the funds will be directed towards meeting the future capital requirements necessary for onward lending. Additionally, a part of these funds will be used for a range of general corporate activities.
Financial Performance of India Shelter Finance Corporation Limited IPO (In Rs and Crore)
| Period Ended | 30-Sep-23 | 31-Mar-23 | 31-Mar-22 | 31-Mar-21 |
| Assets | 4,758.68 | 4,295.59 | 3,221.22 | 2,462.64 |
| Revenue | 398.58 | 606.23 | 459.81 | 322.8 |
| Profit After Tax | 107.35 | 155.34 | 128.45 | 87.39 |
| Net Worth | 1,374.97 | 1,240.53 | 1,076.13 | 937.27 |
| Reserves and Surplus | 1,335.36 | 1,197.98 | 1,033.02 | 894.2 |
| Total Borrowing | 3,272.48 | 2,973.43 | 2,059.40 | 1,480.72 |
Important Dates for India Shelter Finance Corporation Limited IPO (Tentative)
| IPO Date | December 13, 2023 to December 15, 2023 |
| Listing Date | Yet to be announced |
| Face Value | Rs 5 per share |
| Price Band | Rs 469 to Rs 493 per share |
| Lot Size | 30 Shares |
| Total Issue Size | 24,340,771 shares (aggregating up to Rs 1,200.00 Cr) |
| Fresh Issue | 16,227,181 shares (aggregating up to Rs 800.00 Cr) |
| Offer for Sale | 8,113,590 shares of Rs 5 (aggregating up to Rs 400.00 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Shareholding pre issue | 90,823,956 |
| Shareholding post issue | 107,051,137 |
Time Table of India Shelter Finance Corporation Limited IPO (Tentative)
| IPO Open Date | Wednesday, December 13, 2023 |
| IPO Close Date | Friday, December 15, 2023 |
| Basis of Allotment | Monday, December 18, 2023 |
| Initiation of Refunds | Tuesday, December 19, 2023 |
| Credit of Shares to Demat | Tuesday, December 19, 2023 |
| Listing Date | Wednesday, December 20, 2023 |
| Cut-off time for UPI mandate confirmation | 5 PM on December 15, 2023 |
IPO Reservation of India Shelter Finance Corporation Limited IPO
| Investor Category | Shares Offered |
| QIB Shares Offered | Not more than 50.00% of the Net offer |
| Retail Shares Offered | Not less than 35.00% of the Offer |
| NII (HNI) Shares Offered | Not less than 15.00% of the Offer |
Promoter of the India Shelter Finance Corporation Limited IPO
Rajan Meenathakonil Thomas is the promoter of the company.
Promoter Holding of India Shelter Finance Corporation Limited IPO
Rajan Meenathakonil Thomas is the promoter of the company. Anil Mehta, WestBridge Crossover Fund, LLC, and Aravali Investment Holdings are the company’s promoters.
| Shareholding Pre Issue | 56.75% |
| Shareholding Post Issue | 48.17% |
India Shelter Finance IPO Lot Size
Investors have the option to place bids for a minimum of 30 shares, and thereafter in multiples of 30. The following table illustrates the smallest and largest possible investments by retail investors and High Net-worth Individuals (HNIs), both in terms of the number of shares and the corresponding monetary value.
| Application | Lots | Shares | Amount |
| Retail (Min) | 1 | 30 | Rs 14,790 |
| Retail (Max) | 13 | 390 | Rs 192,270 |
| S-HNI (Min) | 14 | 420 | Rs 207,060 |
| S-HNI (Max) | 67 | 2,010 | Rs 990,930 |
| B-HNI (Min) | 68 | 2,040 | Rs 1,005,720 |
Key Performance Indicator of India Shelter Finance Corporation Limited IPO
| KPI | Values |
| P/E (x) | 27.77 |
| Market Cap (In Rs Cr) | 5291.69 |
| ROE | 13.40% |
| Debt/Equity | 2.12 |
| EPS (Rs) | 17.47 |
India Shelter Finance Corporation Limited IPO Lead Manager(s)
The lead managers of India Shelter Finance Corporation IPO are ICICI Securities Limited, Citigroup Global Markets India Private Limited, Kotak Mahindra Capital Company Limited, and Ambit Private Limited.
How to Apply for India Shelter Finance Corporation Limited IPO
Wait for the public issue to open for subscription, then click on this link to apply for the India Shelter Finance Corporation Limited IPO with Bigul https://ipo.bonanzaonline.com/.
How to Check the Allotment Status of India Shelter Finance Corporation Limited IPO
The registrar for India Shelter Finance Corporation Limited IPO is Kfin Technologies Limited. To check your allotment status, please click on this link https://kosmic.kfintech.com/ipostatus/
FAQs
- What is India Shelter Finance Corporation Limited IPO?
India Shelter Finance Corporation Limited IPO is a public offering comprising a fresh issue of shares and an offer for sale totalling Rs 1,200.00 crores.
- When will the IPO open and close for subscription?
The IPO will open on December 13, 2023, and close on December 15, 2023.
- What is the price band for the IPO?
The price band for the IPO is set between Rs 469 to Rs 493 per share.
- What is the minimum lot size for investment?
The minimum lot size for the IPO is 30 shares.
- What are the investment options for retail and HNI investors?
Retail investors can invest in a minimum of 30 shares and a maximum of 390 shares. HNI investors have different minimum and maximum lot sizes based on their category (small or big HNIs).
- Who are the lead managers for the IPO?
The lead managers are ICICI Securities Limited, Citigroup Global Markets India Private Limited, Kotak Mahindra Capital Company Limited, and Ambit Private Limited.
- Where will the IPO be listed?
The shares will be listed on BSE and NSE.
- When is the expected allotment date?
The expected allotment date is Monday, December 18, 2023.
- How can investors apply for this IPO?
Investors can apply for the IPO through the provided link on Bigul once the public issue opens for subscription.
- How can investors check the allotment status of the IPO?
The allotment status can be checked through Kfin Technologies Limited’s website.
- What are the objectives of the IPO?
The proceeds from the IPO will be used for future capital requirements for onward lending and general corporate purposes.
- Who are the promoters of India Shelter Finance Corporation Limited?
The promoters include Rajan Meenathakonil Thomas, Anil Mehta, WestBridge Crossover Fund, LLC, and Aravali Investment Holdings.