The initial public offering (IPO) of MOS Utility will kick off for subscription on Friday, March 31, 2023, and can be subscribed till Thursday, April 6, 2023. The company will be offering its shares in the range of Rs 72-76 apiece.
MOS Utility is looking to raise a little less than Rs 50 crore from its primary stake sale. The offer includes a sale of 57,74,400 fresh equity shares with a face value of Rs 10 each, whereas promoters of the company will offload 8,00,000 equity shares from their kitty.
Incorporated in 2009, MOS Utility is a technology-enabled provider of digital products and services in the B2B and B2C segments. MOS has created an integrated website and an app-based platform as it enlists various network partners and provides them access to the platform as well as their own wallet.
The company has fixed its lot size for 1,600 equity shares with each lot costing Rs 1,21,600 at the upper range of the price bank. A retail bidder can apply for a single lot or 1,600 equity shares only, whereas HNI bidders can apply for a maximum of two lots or 3,200 equity shares amounting to Rs 2,43,200.
The company intends to utilize the net proceeds of the issue for meeting the working capital requirements and general corporate purposes. Last heard, the company was commanding a premium of Rs 6-8 in the grey market amid the volatile broader market sentiments.
It provides business opportunities to shopkeepers, retailers, students, housewives, professionals and insurance agents to start their own online digital service business with the intention to promote the government’s ‘Vocal for Local’ campaign. Through its platform, network partners can provide services such as banking, travel, insurance, entertainment and more.
A large portion of MOS Utility’s revenue is generated from utility services. For the quarter that ended September 2022, It reported revenue of Rs.53.30 crore with a net profit of Rs 1.95 crore. The company clocked a revenue of Rs 80.96 crore with a bottom line of Rs 1.58 crore.
Unistone Capital is the book-running lead manager (BRLM) to the issue, while Skyline Financial Services has been appointed as the registrar. It is an SME offering and will be listed on NSE’s emerge platform.
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