Northern Arc Capital Limited IPO: Analysis, GMP & Subscription Status

Introduction

Northern Arc Capital Limited, a key player in India’s financial inclusion space, is launching its Initial Public Offering (IPO) on Monday, September 16, 2024. The company provides structured debt products to microfinance institutions, small businesses, affordable housing, and agricultural entities. This blog will provide you with an in-depth overview of the IPO, financial performance, and other key information to help you make an informed investment decision.

Northern Arc Capital Limited IPO Details

• IPO Open Date: Monday, September 16, 2024
• IPO Close Date: Thursday, September 19, 2024
• Basis of Allotment: Friday, September 20, 2024
• Initiation of Refunds: Monday, September 23, 2024
• Credit of Shares to Demat: Monday, September 23, 2024
• Listing Date: Tuesday, September 24, 2024
• Price Band: ₹249 to ₹263 per share
• Face Value: ₹10 per share
• Lot Size: 57 shares
• Total Issue Size: 29,543,727 shares aggregating up to ₹777.00 Cr
  • Fresh Issue: 19,011,407 shares aggregating up to ₹500.00 Cr
  • Offer for Sale: 10,532,320 shares aggregating up to ₹277.00 Cr
• Employee Discount: ₹24 per share
• Listing At: BSE, NSE
• Shareholding Pre-Issue: 142,314,010 shares
• Shareholding Post-Issue: 161,325,417 shares

Northern Arc Capital Limited Financial Performance (₹ in Crore)

Objectives of the IPO

The net proceeds from the IPO will be used for:

1. Augmenting Northern Arc Capital’s capital base to meet future growth requirements.
2. Meeting general corporate purposes.

Grey Market Premium (GMP)

Note: The Grey Market Premium (GMP) reflects the premium at which shares are trading in the unofficial market. The GMP will be updated as soon as it becomes available.

Subscription Status

Subscription data will be updated during the IPO period to reflect demand from various investor categories.

Company Overview

Northern Arc Capital Limited, headquartered in Chennai, is a non-banking financial company (NBFC) that provides debt financing to underbanked and underserved segments such as microfinance institutions (MFIs), small business loans, affordable housing, and agricultural financing. Established to improve access to credit for businesses and individuals, Northern Arc Capital bridges the gap between borrowers and mainstream financial services. The company plays a critical role in enabling financial inclusion by offering customized debt solutions to entities that help drive economic development.

With a strong focus on improving financial access in India, Northern Arc Capital has a wide network and a robust portfolio of clients across the financial sector. The company's core mission is to address the lack of capital in the sectors that are vital for inclusive growth.

How to Apply for the Northern Arc Capital Limited IPO

Retail investors can apply for the Northern Arc Capital Limited IPO through the ASBA (Application Supported by Blocked Amount) process or via the UPI (Unified Payments Interface) system.

Steps to Apply:

1. ASBA Process: Login to your net banking portal and select the IPO application option. Choose Northern Arc Capital Limited IPO from the list, and enter your bid details (number of shares and price). Ensure that you have sufficient funds in your account for the blocked amount.
2. UPI Process: Apply through a registered broker app or the stock exchanges' platform, enter your UPI ID, and approve the mandate on your UPI app.

Ensure that your UPI mandate is confirmed before 5 PM on September 19, 2024, to complete your application successfully.

Conclusion

Northern Arc Capital Limited is a major player in India’s financial services sector, particularly in providing debt solutions for financial inclusion. With its solid financials and strategic focus on bridging the credit gap, the company presents a unique opportunity for investors. The IPO will provide Northern Arc Capital with the capital it needs to continue supporting underserved markets, positioning it as a key contributor to the growth of India’s economy. As always, potential investors are advised to perform their due diligence before investing.

Disclaimer: This article is for informational purposes only and should not be considered investment advice. Please consult with your financial advisor before making any investment decisions.

Headlines:

• Northern Arc Capital Limited IPO 2024: Dates, Price Band, and Financial Performance
• Should You Invest in Northern Arc Capital Limited IPO? Key Analysis
• Northern Arc Capital Limited IPO: GMP, Subscription, and Price Details
• Complete Review of Northern Arc Capital Limited IPO: Financials and Key Information
• How to Apply for Northern Arc Capital Limited IPO 2024: Lot Size, Price, and Dates