Au Financiers (India) Limited IPO – Company Profile, Price Band, IPO Listing and Closing Date, Analysis


Rajasthan (Jaipur) based NBFC (non-banking finance company) Au Financiers (India) Limited is planning to raise Rs. 1912 Crore via initial public offer (IPO).

Au Financiers (India) Limited – Company Profile

Incorporated in the year 1996 as L.N. Finco Gems Private Limited, Au Financiers (India) Ltd is Rajasthan (Jaipur) based NBFC focused on retail segment serving (1) middle and low-income people and (2) businesses that have limited or no access to banking and finance channels.

Working Area

The company operates mainly in three businesses:

  • Vehicle finance
  • Micro, small and medium enterprises (MSMEs) loans; and
  • Small and medium enterprises (SMEs) loans

Prior to the conversion into the bank, the company was categorized as a Systemically Important, Non-Deposit Accepting Asset Finance Company (NBFC-ND-AFC) by the Reserve Bank of India.

Small Finance Bank License

The company received a license from the RBI to set up a Small Finance Bank (SFB) on December 20, 2016, and it is the only NBFC categorized as an asset finance company to obtain such license.

Company Branches

As of December 31, 2016, Au Financiers (India) Limited had 300 branches spread across 10 states and one union territory in India, with a significant presence in the states of Rajasthan, Gujarat, Maharashtra and Madhya Pradesh and employed more than 6,000 personnel serving 270,692 active loan accounts.

Company Promoters

  1. Mr. Sanjay Agarwal
  2. Ms. Jyoti Agarwal
  3. Ms. Shakuntala Agarwal
  4. Mr. Chiranji Lal Agarwal

IPO Details – Issue Price, Minimum Bid and Other

IPO Opening, Closing & Listing Dates

Financial Performance

Revenues

The Company shows superb revenue growth in recent years. Topline has been increasing regularly for the last five years and jumped from INR 231 crore in FY2012 to INR 1052 crore for the year ended March 2016.

Profits

Though the company has shown superb growth in revenue, the company has also registered impressive profits in these years. Starting from INR 37 crore of profit in FY2012, the company’s earning improved to INR 247 crore in FY2016.

Margin

The company’ profit margin ranging between 12% to 23% in these five years.

CONCLUSION –
Considering company’s valuation, financial parameters and long-term perspective, FinBlab recommends SUBSCRIBE ratings on Au Financiers (India) Limited issue.

 


Disclaimer: The contents and data presented here are just for your information & personal use only. While much effort is made to provide the information, I ( Vishal Dalwadi ) or “Fin Blab” do not guarantee the accuracy, correctness, completeness or reliability of any information or data displayed herein and shall not be held responsible.


 

 

 

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About me

Vishal Dalwadi

Vishal Dalwadi

Vishal is an MBA (Finance) post-graduate. He is the founder and owner of "FinBlab". His blog aims at providing information and research on Stock market and sectors including Mutual funds, IPOs, Insurance and more.

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