Northern Arc Capital IPO was fully subscribed on its first day, led by non-institutional investors. The price band is ₹249 to ₹263, with various allocations for different investor categories. The company aims to meet the credit needs of underprivileged households in India.
Northern Arc Capital IPO: In the primary market on Monday, Northern Arc Capital IPO saw full subscription on the first day, with non-institutional investors taking the lead, followed by retail investors, amidst various issues.
On Friday, the non-bank financial institution announced that it received ₹229 crore from anchor investors, just a few days before its shares were made available for public subscription.
Anchor investors in the company include SBI General Insurance Company, SBI Life Insurance Company, Reliance General Insurance Company, Kotak Mahindra Life Insurance Company, Goldman Sachs (Singapore) Pte, Societe Generale, and Quant Mutual Fund.
The offer’s price band is from ₹249 to ₹263 per equity share, and investors can choose to bid for a lot size of 57 equity shares and in multiples after that.
Northern Arc Capital IPO has reserved not more than 50% of the shares in the public issue for qualified institutional buyers (QIB), not less than 15% for non-institutional Institutional Investors (NII), and not less than 35% of the offer is reserved for retail investors. Eligible employees participating in the employee reservation portion will receive a discount of ₹24 per equity share, and this segment has up to 590,874 equity shares allocated to it.
The company was established primarily to address the diverse retail credit requirements of underprivileged households and businesses in India. This platform offers a variety of financial services. Their approach over the last fifteen years has been to create a distinct and comprehensive play on the retail credit ecosystem in India across several businesses. Since entering the financial inclusion space in 2009, they have impacted over 101.82 million individuals in India and had facilitated financing of over ₹1.73 trillion as of March 31, 2024.