Gujarat- headquartered non-banking financial company (NBFC) MAS Financial Services is planning to raise around Rs 460 crore from its initial public offering (IPO). The company has set a price band of Rs 456-459 per share. The public issue comprises fresh issue of shares worth up to Rs 233 crore and an offer for sale of up to Rs 227 crore by existing shareholders. In addition, the offer includes a reservation aggregating up to Rs 7 crore for eligible employees. The minimum bid lot is 32 equity shares and in multiple of 32 equity shares thereafter. The IPO is scheduled to open on October 6 and close on October 10. Besides, the company has undertaken a private placement of 39,90,422 shares for cash consideration aggregating Rs 135 crore. The company proposes to utilise the net proceeds to augmenting its capital base to meet future requirements.
Kamlesh Gandhi, founder and CMD, MAS Financial Services said, “In lending business, lenders generally fail because of the quality of assets. However, we don’t just lend but we also act as financial advisors. We have focused on serving the lower and the middle income group of the society and we have grown at a CAGR of 36 %. We operate through 119 branches and through these branches we cover 3,200 centres”.
The company is a Gujarat-headquartered non-banking financial company (NBFC) with more than two decades of business operations and presence across six states and the NCT of Delhi. MAS Financial Services’ business and financing products are primarily focused on middle and low income customer segments, which includes micro-enterprise loans, SME loans; two-wheeler loans; Commercial Vehicle loans and housing loans.
For the year ended March 2016, total revenue of MAS Financial Services was Rs 288.7 crore against Rs 226.5 crore during the same period in the previous year. Profit after tax (PAT) increased from Rs 38.82 crore in March 2015 to Rs 50 crore in March 2016. In addition, Earnings per share (EPS) increased to Rs 11.63 per equity share in March 2016 from Rs 8.83 in the previous year.