The Veritas Finance IPO has been announced and its dates are awaited, with the shares to list on the NSE and BSE. The issue size is ₹2800 crore. Kfin Technologies Limited is the registrar to the issue, and Hdfc Bank Limited, ICICI Securities Limited, Jefferies India Private Limited, Kotak Mahindra Capital Company Limited are the lead managers.
Established in 2015, Veritas Finance Limited is a Reserve Bank of India registered Non-banking financial company (NBF). Being a diversified, retail NBFC, the company mainly provides small business loans to MSMEs and self-employed individuals and has diversified further into home loans and second-hand commercial vehicle loans.The company bridges the credit gap of financially underserved MSMEs and individuals by providing products such as working capital loans, housing loans, used commercial vehicle loans, and small business loans.
The company procures lead for Rural Business and Working Capital Loans in-house and employs direct selling agents for Affordable Home and Used Commercial Vehicle Loans, where 88.67% of loans are procured in-house.
The company has a distribution network of 424 branches in 10 states and one union territory in India, with high density in Tamil Nadu, Andhra Pradesh, Telangana, Karnataka, and West Bengal.As of September 30, 2024, the company has relationships with 36 lenders and 11 holders of debt securities, comprising banks, mutual funds, NBFCs, and alternate investment funds. As of September 30, 2024, the company has 7,704 full-time employees on payroll.
As described in the offer document.
Work out the listing gain for this IPO
Applications are made through ASBA, where the money is blocked in your own bank account rather than paid, or through a UPI mandate for applications up to five lakh rupees. Through your broker's app, choose the issue, the number of lots and the price; bid at the cut-off price so that the application is valid whatever price the issuer finally fixes; and approve the UPI mandate that arrives from your bank.
Through net banking, the ASBA form in your bank's IPO section does the same without a broker. One application per PAN counts; a second application in the same name is rejected, though applications in family members' names with their own PANs and demat accounts are separate.
Retail applications are capped at two lakh rupees; above that you apply as a non-institutional investor, where allotment is proportionate rather than by lottery. The money stays in your account and earns interest until allotment, and the block is released on the allotment date if you receive nothing.
The expected listing premium, usually called the grey market premium, is the amount per share that unofficial dealers are quoting for the issue before it lists. It is a sentiment reading, not a price you can transact at, and it is not regulated by SEBI or the exchanges. It moves through the day, usually tracks subscription, and often changes sharply in the final hours before listing.
Rupix records every observation and shows the trend, as a percentage of the top of the price band so that issues of different sizes can be compared. It is one input, alongside subscription, the company's financials and the valuation the issue asks for, and it does not predict the listing price.
The issue size is ₹2800 crore.
On the registrar's website at https://kosmic.kfintech.com/ipostatus/, by PAN, application number or demat account, once the basis of allotment is published. The Rupix app can also check it by PAN.
Through your broker's app with a UPI mandate, or through your bank's net banking using ASBA. Bid at the cut-off price, approve the mandate, and the money stays blocked in your account until allotment. Rupix does not take applications.