Northern Arc Capital IPO Details: The Northern Arc Capital IPO is set to open on September 16, 2024, and will close on September 19, 2024. This Book Built Issue aims to raise approximately ₹777 crores, comprising a fresh issue of ₹500 crores and an offer for sale of up to 10,532,320 equity shares, each with a face value of ₹10.
The price band for the Northern Arc Capital IPO is ₹249 to ₹263 per share. The allocation is divided as follows: 35% for retail investors, 50% for Qualified Institutional Buyers (QIBs), and 15% for High Net-Worth Individuals (HNIs). The shares are scheduled to be listed on the BSE and NSE on September 24, 2024, with the allotment date set for September 20, 2024.
In its most recent financial year, Northern Arc Capital reported a revenue of ₹1,906.03 crores, up from ₹1,311.2 crores in 2023. The company’s profit also increased to ₹317.69 crores from ₹242.21 crores the previous year. Based on these financials, investors might consider the IPO a promising long-term opportunity.
Northern Arc Capital IPO Objectives:
The company proposes to utilize the Net Proceeds to meet future capital requirements toward onward lending.
Northern Arc Capital IPO Review (Apply or Not)
- Update soon
Northern Arc Capital IPO Date & Price Band Details:
| IPO Open Date: | September 16, 2024 |
| IPO Close Date: | September 19, 2024 |
| Face Value: | ₹10 Per Equity Share |
| IPO Price Band: | ₹249 to ₹263 Per Share |
| Issue Size: | Approx ₹777 Crores |
| Fresh Issue: | Approx ₹500 Crores |
| Offer for Sale: | Approx 10,532,320 Equity Shares |
| Issue Type: | Book Built Issue |
| IPO Listing: | BSE & NSE |
| Retail Quota: | Not more than 35% |
| QIB Quota: | Not more than 50% |
| NII Quota: | Not more than 15% |
| DRHP Draft Prospectus: | Click Here |
| RHP Draft Prospectus: | Click Here |
| Anchor Investors List: | Click Here |
Northern Arc Capital IPO Lot Size:
The Northern Arc Capital IPO requires a minimum market lot of 57 shares, with an application amount of ₹14,991. Retail investors have the option to apply for up to 13 lots, totaling 741 shares, which amounts to ₹194,883.
| Application | Lot Size | Shares | Amount |
| Retail Minimum | 1 | 57 | ₹14,991 |
| Retail Maximum | 13 | 741 | ₹194,883 |
| S-HNI Minimum | 14 | 798 | ₹209,874 |
| B-HNI Minimum | 67 | 3,819 | ₹1,004,397 |
Northern Arc Capital IPO Timeline:
The Northern Arc Capital IPO is scheduled to open on September 16 and will close on September 19. Allotment results will be finalized on September 20, with shares expected to be listed on September 24.
| IPO Open Date: | September 16, 2024 |
| IPO Close Date: | September 19, 2024 |
| Basis of Allotment: | September 20, 2024 |
| Refunds: | September 23, 2024 |
| Credit to Demat Account: | September 23, 2024 |
| IPO Listing Date: | September 24, 2024 |
Northern Arc Capital IPO GMP Today:
GMP for Northern Arc Capital IPO has not started yet. We are updating the GMP information on a daily basis. Please visit us again soon for the latest GMP updates.
Promoters of Northern Arc Capital IPO
Information not available.
About Northern Arc Capital IPO
Northern Arc Capital Limited is a prominent financial services platform dedicated to meeting the diverse credit needs of under-served households and businesses across India. Over the past 15 years, the company has built a unique and comprehensive approach to the retail credit ecosystem, spanning various sectors.
Northern Arc Capital has developed specialized expertise in providing credit across several key areas, including micro, small, and medium enterprises (MSMEs) financing, microfinance (MFI), consumer finance, vehicle finance, affordable housing finance, and agricultural finance. With over 14 years in MSME finance, 15 years in MFI, and nine years in consumer finance, the company has made significant strides in financial inclusion since its inception in 2009. As of March 31, 2024, Northern Arc has facilitated financing exceeding ₹1.73 trillion, positively impacting over 101.82 million lives across India.
Recognized as one of the leading players among India’s diversified Non-Banking Financial Companies (NBFCs) in terms of Assets under Management (AUM) as of March 31, 2024, Northern Arc Capital boasts a diverse business model that spans multiple offerings, sectors, products, geographies, and borrower categories. The company has also developed a robust and scalable business model featuring an integrated technology product suite tailored to various sectors.
Northern Arc Capital IPO Company Financial Report
The company reported revenue of ₹1,906.03 crores in 2024 against ₹1,311.2 crores in 2023. The company reported a profit of ₹317.69 crores in 2024 against a profit of ₹242.21 crores in 2023.
Amount ₹ in Crores
| Period Ended | Revenue | Expense | Profit After Tax | Assets |
| 2022 | ₹916.55 | ₹668.16 | ₹181.94 | ₹7,974.12 |
| 2023 | ₹1,311.2 | ₹988.10 | ₹242.21 | ₹9,371.57 |
| 2024 | ₹1,906.03 | ₹1,484.83 | ₹317.69 | ₹11,707.66 |
Northern Arc Capital IPO Valuation – FY2024
Check Northern Arc Capital IPO valuations detail like Earning Per Share (EPS), Price/Earning P/E Ratio, Return on Net Worth (RoNW), and Net Asset Value (NAV) details.
| KPI | Values |
| ROE: | -% |
| ROCE: | -% |
| EBITDA Margin: | -% |
| PAT Margin: | -% |
| Debt to equity ratio: | 3.03 |
| Earning Per Share (EPS): | ₹34.61 (Basic) |
| Price/Earning P/E Ratio: | N/A |
| Return on Net Worth (RoNW): | 13.32% |
| Net Asset Value (NAV): | ₹177.06 |
Peer Group Comparison
| Company | EPS | PE Ratio | RoNW % | NAV | Income |
| Five-Star Business Finance Limited (“Five Star”) | 28.64 | 26.76 | 16.09% | 177.68 | 21,82.85 Cr. |
| SBFC Finance Limited (“SBFC”) | 2.35 | 36.64 | 8.53% | 25.87 | 10,18.64 Cr. |
| CreditAccess Grameen Limited (“CreditAccess”) | 90.88 | 13.12 | 5.01% | 1,809.93 | 51,66.67 Cr |
| Fusion Micro Finance Limited (“Fusion”) | 50.30 | 6.21 | 17.74% | 281.93 | 23,16.73 Cr |
| Bajaj Finance Limited (“Bajaj Finance”) | 236.89 | 30.93 | 18.84% | 1,239.03 | 549,69.49 Cr |
| Cholamandalam Investment and Finance Company Limited (“Cholamandalam”) | 41.17 | 36.22 | 17.46% | 233.26 | 191,39.62 Cr |
| Poonawalla Fincorp Limited (“Poonawalla”) | 21.89 | 17.81 | 20.60% | 105.44 | 31,09.01 Cr |
| MAS Financial Services Limited (“MAS”) | 15.31 | 18.55 | 14.08% | 108.71 | 12,79.16 Cr |
Northern Arc Capital IPO Registrar
Kfin Technologies Limited
Phone: 04067162222, 04079611000
Email: nacl.ipo@kfintech.com
Website: https://kosmic.kfintech.com/ipostatus/
IPO Lead Managers aka Merchant Bankers
- ICICI Securities Limited
- Axis Bank Limited
- Citigroup Global Markets India Private Limited
Company Address
Northern Arc Capital Limited
No. 1, Kanagam Village 10th Floor,
10th Floor, IITM Research Park Taramani,
Chennai – 600 113
Phone: +91 44 6668 7000
Email: investors@northernarc.com
Website: http://www.northernarc.com/
1. What are the key dates for the Northern Arc Capital IPO?
- IPO Opening Date: September 16, 2024
- IPO Closing Date: September 19, 2024
- Allotment Date: September 20, 2024
- Listing Date: September 24, 2024
2. What is the price band for the Northern Arc Capital IPO?
The price band for the IPO is ₹249 to ₹263 per share.
3. What is the minimum lot size for the Northern Arc Capital IPO?
The minimum market lot is 57 shares, with an application amount of ₹14,991.
4. How many lots can a retail investor apply for?
Retail investors can apply for up to 13 lots, which amounts to 741 shares and ₹194,883.
5. How will the shares be allocated?
The allocation of shares is divided as follows:
- Retail Investors: 35%
- Qualified Institutional Buyers (QIBs): 50%
- High Net-Worth Individuals (HNIs): 15%
6. Where will the Northern Arc Capital shares be listed?
The shares will be listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
7. What is the financial performance of Northern Arc Capital?
As of March 31, 2024, Northern Arc Capital reported a revenue of ₹1,906.03 crores, up from ₹1,311.2 crores in the previous year. The company’s profit increased to ₹317.69 crores from ₹242.21 crores.
8. What is the mission of Northern Arc Capital?
Northern Arc Capital aims to address the diverse retail credit needs of under-served households and businesses in India. Over the past 15 years, they have developed expertise in several key areas of the credit ecosystem, including MSME finance, microfinance, consumer finance, vehicle finance, affordable housing finance, and agricultural finance.
9. How long has Northern Arc Capital been operating in its focus sectors?
- MSME Finance: Over 14 years
- Microfinance (MFI): 15 years
- Consumer Finance: Nine years
10. How has Northern Arc Capital contributed to financial inclusion?
Since entering the financial inclusion space in 2009, Northern Arc Capital has facilitated financing exceeding ₹1.73 trillion, impacting over 101.82 million lives across India.
11. What is the company’s business model?
Northern Arc Capital has developed a scalable and efficient business model featuring an end-to-end integrated technology product suite, customized for various sectors. The company is recognized as a leading player among India’s diversified NBFCs in terms of Assets under Management (AUM).
