Manipal Payment and Identity Solutions Limited (MPISL), the country’s largest company making payment and identity cards, has planned to raise Rs 1,200 crore with the help of its IPO. It is reported that the company has submitted a draft red herring prospectus (DRHP) near the Capital Market Regulator SEBI from the Confidential Route. The IPO will also have new shares as well as an offer for sale from the current shareholders.
Promoters have a 60 percent stake in MPISL under the leadership of Gautam Pai family. The rest of the part is with institutional and public shareholders including Nuwama Wealth Management. The IPO is expected to have a valuation of the company around Rs 12,000 crore. The company wants to be listed by bringing IPO in this financial year.
“Promoters are thinking of maintaining 51 percent stake after the company’s listing. A large part of the IPO income will be used to repay the debt of one of the entities of their promoter level.”
Clients also include banks, fintech firms and government departments
MPISL has a large client base, which it supplies credits, debit, smart and government ID cards. Its clients include large government and private banks, fintech firms and government departments. Its manufacturing facilities are certified by visa, master cards and Europe. Not only this, it has a Global Technical Tieup in Thailand with Chan Vanich Security Printing and Thomas Greg and Sons in Colombia.
Earlier in April, it was reported that Promoter Entities- Manipal Technologies Limited and Manipal Media Network Limited sold 6 percent stake in MPISL to Nuwama. In addition, a 1.5 percent stake was sold to a group of family offices. Blackrock and Hong Kong -based asset manager SC Lowy is being repaid by the outstanding foreign currency debt from the money received from this stake.
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