New Delhi, 17 September (H.S.): Shares of Manipal Payment and Identity Solutions Limited, one of the country’s leading banking and smart-card manufacturing companies, made a weak debut on the stock market on Thursday, disappointing its IPO investors initially. The company had issued its shares at an IPO price of Rs 339 per share. On the BSE, the shares were listed at Rs 332, a discount of 2.06 per cent, while on the NSE, they debuted at Rs 330, reflecting a discount of 2.65 per cent.
Following the weak listing, selling pressure pushed the shares down to Rs 316. However, buying support from investors helped the stock recover, taking it as high as Rs 350. After the full trading session, the shares closed at Rs 345.75. Thus, on the first day of trading, IPO investors registered a gain of Rs 6.75 per share, or 1.99 per cent, over the issue price.
The company’s Rs 805-crore IPO was open for subscription from September 9 to 11. The issue received a tepid response from investors and was subscribed 1.26 times overall. The portion reserved for Qualified Institutional Buyers (QIBs) was subscribed 1.16 times, excluding the anchor portion. Similarly, the portion reserved for Non-Institutional Investors (NIIs) received 1.21 times subscription. The retail investors’ portion was subscribed 2.14 times.
Under the IPO, a total of 2,37,46,313 shares with a face value of Rs 2 each were offered. This included 94,39,528 fresh shares worth approximately Rs 320 crore, while 1,43,06,785 shares worth around Rs 485 crore were offered for sale. The proceeds raised through the fresh issue will be used by the company to meet its working-capital requirements, reimburse IPO-related expenses and for general corporate purposes.
According to the claims made in the Draft Red Herring Prospectus (DRHP) filed with capital-market regulator SEBI, the financial performance of Manipal Payment and Identity Solutions Limited has remained uneven. The company reported a net profit of Rs 249.17 crore in financial year 2023-24, which increased to Rs 282.21 crore in FY 2024-25. However, its net profit declined to Rs 253.46 crore in FY 2025-26.
During the same period, the company’s revenue continued to increase. Total revenue stood at Rs 1,267.97 crore in FY 2023-24 and rose to Rs 1,277.11 crore in FY 2024-25. In the previous financial year, FY 2025-26, revenue increased further to Rs 1,356.59 crore.
The company also substantially reduced its debt burden during this period. At the end of FY 2023-24, the company had outstanding debt of Rs 449.47 crore, which increased to Rs 472.87 crore in FY 2024-25. In FY 2025-26, however, its debt burden fell sharply to just Rs 42 lakh.
The company also strengthened its reserves and surplus during the period. At the end of FY 2023-24, its reserves and surplus stood at Rs 48.25 crore, which increased to Rs 262.89 crore in FY 2024-25. In FY 2025-26, the figure rose further to Rs 747.43 crore.
The company’s net worth also increased during the period. Its net worth stood at Rs 405.05 crore in FY 2023-24, rising to Rs 619.70 crore in FY 2024-25. In FY 2025-26, the company’s net worth increased further to Rs 1,107.34 crore.
As for EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortisation), the company reported EBITDA of Rs 355.57 crore in FY 2023-24, which increased to Rs 408.77 crore in FY 2024-25. In FY 2025-26, EBITDA rose further to Rs 455.83 crore.
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Hindusthan Samachar / Jun Sarkar
