The RNFI Services IPO has sparked significant interest among investors as subscriptions opened on Monday, July 22, and are set to close on Wednesday, July 24. The initial public offering is priced between ₹98 and ₹105 per share, with a face value of ₹10. Investors must bid for a minimum of 1,200 shares, with additional bids in multiples of this amount.
In this IPO, QIB can purchase up to 12,72,000 equity shares, NII can buy up to 9,54,000 equity shares, retail investors can acquire up to 22,26,000 equity shares, and Market Makers can take up to 3,84,000 equity shares.
RNFI Services, founded in 2015, is a financial technology startup providing B2B and B2B2C solutions through an online portal and mobile application. The company specializes in offering financial, digital, and government-to-citizen (G2C) services throughout India. Its business is divided into four categories: business correspondent services, non-business correspondent services, full-fledged money changer service, and insurance brokerage.
The financial performance of RNFI Services has been impressive. In the fiscal year 2024, the company reported revenue of ₹93,542.38 lakhs, an EBITDA of ₹1,923.88 lakhs, and a profit of ₹996.07 lakhs. This strong financial footing has undoubtedly contributed to the high interest in its IPO.
By the end of the second day, the subscription status of the RNFI Services IPO stood at 23.93 times. The retail portion was subscribed 36.10 times, and the NII portion was booked 26.41 times. The QIB portion, meanwhile, was 76% subscribed. Overall, the company received bids for 10,65,25,200 shares against the 44,52,000 shares on offer.
The RNFI Services IPO saw a subscription rate of 5.94 times on the first day, indicating strong initial demand. As the subscription period draws to a close, the company appears poised for a successful offering. According to data from Chittorgarh.com, the IPO’s impressive subscription figures reflect robust investor confidence.
The GMP for RNFI Services IPO currently stands at +65, suggesting that shares are trading at a premium of ₹65 in the grey market. This indicates an expected listing price of ₹170 per share, which is 61.9% higher than the upper end of the IPO price band at ₹105. Analysts at Investorgain.com noted that the GMP trends higher, reflecting solid demand and a positive outlook for the IPO’s listing.
The total issue size of the RNFI Services IPO is ₹70.81 crore, comprising a fresh issue of up to 6,744,000 equity shares. The net proceeds from the IPO will be utilized to support working capital requirements, capital expenditure, expansion of technological infrastructure, inorganic growth through acquisitions, and other strategic initiatives.
Ranveer Khyaliya, Chairman and Managing Director of RNFI Services Ltd, expressed his excitement about the IPO.
It is an immense pleasure to share this significant milestone in our journey as we prepare for our IPO. Since our inception, our mission has been to bridge the financial gap in rural India, bringing accessible and innovative financial technology solutions to the underserved. Our dedicated team and extensive network have enabled us to reach over 28 states and 5 union territories, processing more than 115 lakh transactions monthly to date.
Khyaliya emphasized that the IPO marks a new chapter for RNFI Services, providing an opportunity to further its mission of financial inclusion and technological innovation. The funds raised will enhance the company’s service offerings, expand its network, and continue its commitment to empowering rural India. He expressed optimism about the future and the potential for RNFI Services to make a greater impact on the financial landscape of India.
The RNFI Services IPO has generated considerable buzz in the market, with strong subscription numbers and a positive GMP reflecting investor confidence. As the subscription period ends, all eyes will be on the IPO’s listing and the company’s next steps in its growth journey.
