Manba Finance soars 14% in 2 days on dividend news; defies market weakness

Shares of newly listed Non-Banking Financial Company (NBFC), Manba Finance jumped as much as 13.87 per cent to log a fresh high of Rs 168.77 during intraday trade on Thursday, defying the prevailing weak market sentiment. A combined 2.45 million shares of Manba Finance, worth around Rs 39.5 crore, exchanged hands on the BSE and NSE today.

Earlier, on October 16, Manba Finance informed the exchanges that, at the company’s request, India Ratings and Research (Ind-Ra) had withdrawn the ratings assigned to the Commercial Paper (CP) of the company. The company had voluntarily requested such withdrawal since it had fully repaid the amounts and no longer needed to maintain a rating under the said Commercial Paper (CP) issue.

As per the data available on the exchanges, Manba Finance is likely to reward its shareholders with the first-ever dividend post their market debut. The company informed the exchanges via regulatory filing that a meeting of the Board of Directors of Manba Finance will be held on Thursday, October 24, 2024, for the declaration and payment of the 1st Interim Dividend of FY2024-25, if any.

"The Record Date for determining the entitlement of the shareholders for the payment of the aforesaid Interim dividend shall be 4th November, 2024, subject to the approval of the Interim dividend by the Board of Directors," said Manba Finance in the regulatory filing to the NSE. 

The board in the said meeting will also consider and approve the unaudited standalone financial results of the company for the quarter and half-year ended September 30, 2024.

Earlier, on September 30, 2024, Manba Finance shares, following their successfully concluded initial public offering (IPO), made their market debut at a premium of 20.83 per cent at Rs 145.83 on the NSE, against the IPO issue price of Rs 120.

Headquartered in Mumbai, Manba Finance (MFL) is a Non-Banking Financial Company that offers financial solutions for new two-wheelers, three-wheelers, electric vehicles, used cars, small business loans, and personal loans. As of March 31, 2024, MFL reported Assets Under Management (AUM) exceeding Rs 900 crore, with 97.9 per cent of its loan portfolio focused on new vehicle loans.

As of October 17, 2024, Manba Finance enjoys a market capitalisation of Rs 837.99 crore.

At around 12:54 p.m., Manba Finance shares were trading at Rs 166.80, up 12.54 per cent from their previous close of Rs 148.21 on the NSE. In comparison, the benchmark Nifty50 was down by 188.60 points or 0.76 per cent to 24,783.60 levels.

The company's stock has jumped 14.23 per cent in the last two trading session. 

Manba Finance shares have risen 15.77 per cent since listing, up 40.64 per cent from their IPO issue price.