KFin Technologies IPO subscribed 0.70 times on Day 2, issue closes Wed

Financial services firm provides services and solutions to asset managers and corporate issuers

The initial public offering (IPO) of KFin Technologies was subscribed to 0.7 times or 70 per cent  on Tuesday, the second day of the issue. The institutional investor portion was subscribed 1 time, the wealthy investor portion by 3 per cent, and the retail investor portion by 74 per cent.

The company has allotted Rs 675 crore to 44 anchor investors. KFin Technologies first considered launching a Rs 2,400-crore IPO, but reduced the issue size to Rs 1,500 crore to align with market conditions.

The IPO, which closes on Wednesday, is an offer for sale by General Atlantic Singapore Fund PTE. KFin has priced the IPO between Rs 347 to Rs 366 per share. Bids can be made for a minimum of 40 shares and in multiples of 40 shares thereafter. ICICI Securities, Kotak Mahindra Capital Company, JP Morgan India, IIFL Securities and Jefferies are the managers of the IPO.

KFin provides services and solutions to asset managers and corporate issuers across asset classes in India and abroad. The company provides several investor solutions that include transaction origination and processing for mutual funds and private retirement schemes in Malaysia, the Philippines and Hong Kong.

As of September 30, KFin was India’s largest investor solutions provider to mutual funds based on the number of clients serviced. The company provides services to 24 out of 41 asset management companies (AMCs) in India, as on September 30, 2022, representing 59 per cent of the market share clients. The company is also one of the three operating central record-keeping agencies (“CRAs”) for the National Pension System (“NPS”).

KFin provides investor and issuer solutions that include mapping of mutual fund schemes of AMCs to distributors selected by the AMCs and related distributor management, GST compliance assistance, customer on-boarding with integrated KYC, unit allocation and redemption, reporting and compliance checks.