Abans Holdings to open IPO next week from Dec 12-15; GMP at ₹20 per share
- Abans Holdings to open its IPO next week from December 12-15.
- The Mumbai-based company has set the IPO price band at ₹256- 270 per share.
- The company plans to raise ₹345 crore through a fresh issue and an offer for sale by promoters and shareholders.
- The shares of the company are currently commanding a grey market premium, or GMP, of ₹20 per share.
AdvertisementMumbai-based financial services company Abans Holdings will open its initial public offering (IPO) next week on December 12 and close on December 15. The price band of the IPO is set at ₹256- 270 per share.
The company plans to raise ₹345 crore through a fresh issue worth ₹102 crore, and an offer for sale by promoters and shareholders worth ₹243 crore.
Abans Holdings intends to use proceeds from fresh issue to augment the capital base of the NBFC subsidiary (Abans Finance) to meet its future capital requirements, besides general corporate purposes.
The shares of the company are currently commanding a grey market premium, or GMP, of ₹20 per share. GMP is the premium at which IPO shares are traded in an unofficial market before they are listed on the stock exchanges.
Established in 2009, Abans Holdings is engaged in financial services, gold refining, jewellery, commodities trading, agricultural trading and warehousing, software development and real estate. It represents the financial services arm of the Abans Group.
Also, it provides asset management, investment advisory and wealth management services to corporates, institutional and high net worth clients. It operates from multiple locations including India, UK, Dubai, Shanghai, Hongkong, Mauritius and Singapore.
Abans Holdings is a holding company and all its business operations are conducted through three subsidiaries and 14 step subsidiaries.
The company competes with non-banking financial companies, brokerage firms, AMCs and financial advisory firms.
Abans Holdings revenues have depleted significantly while its profits have improved consistently in the last three years along with reduction in debt.
“As can be seen, our revenues have declined mainly due to reduction in physical commodities trading due to Covid-19 related changes and our gradual movement towards exchange traded commodity instruments instead of physical commodities,” the company said in its red herring prospectus.
|Particulars||Revenue from operations||Net profit||Debt (borrowings)|
|FY22||₹638 crore||₹61 crore||₹85 crore|
|FY21||₹1,325 crore||₹45 crore||₹267 crore|
|FY20||₹2,765 crore||₹39 crore||₹318 crore|
SEE ALSO: FPIs invest over ₹36,000 crore in Indian equities in November – Financial services is top favourite
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