Fusion Micro Finance IPO

Fusion Micro Finance IPO | Review

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Fusion Micro Finance Limited has come up with an initial public offer (IPO). It will open on November 02-04, 2022 at Rs.350-368 a share. The IPO issue size is around Rs.1,103.99 crore. The minimum bid will be for 40 shares and in its multiples thereafter.


Fusion Microfinance was incorporated in 1994, which provides financial services to unserved and underserved women in rural and peri-rural areas across India. The company’s network and services have improved accessibility to formal credit at affordable prices. It is one of the youngest companies among the top NBFC-MFIs in India in terms of AUM as of June 30, 2022. It had the fourth fastest gross loan portfolio CAGR of 53.89% between the financial years 2017 and 2021 among the 10 largest NBFC-MFIs in India.

The company has extended its reach to 2.90 million active borrowers which were served through its network of 966 branches and 9,262 permanent employees. It has spread across 377 districts in 19 states and union territories in India, as of June 30, 2022.  The company’s business runs on a joint liability group-lending model, wherein a small number of women form a group and guarantee one another’s loans.

Website https://fusionmicrofinance.com/


Devesh Sachdev – 6.58%Mini Sachdev – 0.36%
Creation Investments Fusion II – 18.17%Honey Rose Investment Ltd – 48.65%
Creation Investments Fusion – 11.80%

Promoter Holding

Pre-Issue Shareholding – 85.57%Post-Issue Shareholding – 

Strength & Weakness

Well Diversified and Pan-India PresenceBusiness is vulnerable to interest rate risk
Proven Capabilities with Strong Rural FocusOutstanding legal proceedings against Company & Directors
Access to Diversified Sources of CapitalSubject to strict laws and regulations
Effective Asset Liability ManagementCompetition from other MFIs, banks and FIs
Robust Underwriting Process and Risk Management PoliciesDepend on the accuracy and completeness of information
Technologically Advanced Operating ModelEntered into related-party transactions
Experienced Management TeamDepends upon management team


Agriculture LoansManufacturing LoansTrade & Retail Loans
ServicesTop-up LoansCross-sell Loans
MSME LoansEmergency Loans


CreditAccess GrameenSpandana Sphoorty FinancialSatin Creditcare Network
Asirvad MicrofinanceArohan Financial ServicesMuthoot Microfin
Annapurna MicrofinanceBandhan BankUjjivan Small Finance Bank
Equitas Small Finance BankSuryoday Small Finance Bank

Company Financials

YearRevenue (in Crore)Profit (in Crore)

Object of Issue

1) To utilize the Net Proceeds towards augmenting its capital base.

2) To receive the benefits of listing the Equity Shares on the Stock Exchanges.

3) The Selling Shareholders will be entitled to their respective portion of the proceeds of the Offer for Sale.

Fusion Micro Finance IPO Lot Size

Retail (Min)140Rs.14,720
Retail (Max)13520Rs.1,91,360
S-HNI (Min)14560Rs.2,06,080
B-HNI (Max)682720Rs.10,00,960

Fusion Micro Finance IPO details

IPO Opening Date November 02, 2022
IPO Closing Date November 04, 2022
Face Value Rs.10 per Equity Share
IPO Price Rs.350-368 per share
Market Lot 40 shares
Minimum Order Quantity 40 shares
Listing At NSE, BSE
No. of shares offered (OFS)1,36,95,466 shares
Issue Size Up to Rs.1,103.99 Crore
QIB Shares Offered 50% of the offer
Retail Shares Offered 35% of the offer 
NII/HNI Shares Offered 15% of the offer 

Fusion Micro Finance IPO Timetable

IPO DateNovember 02-04, 2022
Allotment DateNovember 10, 2022
Initiation of RefundsNovember 11, 2022
Credit of share to Demat a/cNovember 14, 2022
IPO Listing DateNovember 15, 2022

Allotment Status

Link Intime – https://linkintime.co.in/

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About the author

Shankar Awale

Hey! I am Shankar Awale an aspiring blogger with an obsession for all things of Finance. This blog is dedicated to help people to learn about Financial Knowledge in easy language.

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