Hotness SBI CARDS IPO ( MARCH 2nd to MARCH 5th )

Hot Deal SBI CARDS IPO ( MARCH 2nd to MARCH 5th )

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Deal Subedar
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SBI CARDS IPO ( MARCH 2nd to MARCH 5th )
Deal Expired




SBI Cards — India’s second-largest credit card firm with nearly 18 per cent market share. — will offer up to 13.71 crore equity shares with a face value of Rs 10 via offer for sale route, according to the draft red herring prospectors (DRHP). This will include up to 3.73 crore share sale by SBI and up to 9.32 crore shares by Carlyle group. (CA Rover). In addition, the company will also issue fresh equity shares of Rs 500 crore. SBI holds 76 per cent in SBI Cards and the rest is held by the Carlyle group.

https://cdn0.desidime.com/attachments/photos/606014/original/sbi-card-ipo.jpg?1582303043

When will SBI Cards IPO open?
The IPO will open for subscription from March 2-5. The shares will be credited to investors’ demat account on or around March 13.
What is SBI Cards shares listing date?
Shares of the company will be listed on BSE and NSE both on or around March 16, according to the red herring prospectus.
Who are book running lead managers of SBI Cards IPO?
Kotak Mahindra Capital, Axis Capital, BofA Securities, HSBC, Nomura, SBI Capital Markets are the book running lead managers to the issue.
What is the issue size of SBI Cards IPO?
The company plans to issue new shares worth Rs 500 crore and will offer up to 13.05 crore shares as offer for sale, according to the prospectus.
What are SBI Cards strengths?

Second largest credit card issuer in India with deep industry expertise and a demonstrated track record of growth and profitability
Diversified customer acquisition capabilities
Support of a strong brand and pre-eminent promoter
Diversified portfolio of credit card offerings
Advanced risk management and data analytics capabilities
Modern and scalable technology infrastructure

Overview of credit card industry
Credit card industry intends to grow 2.5 times in the next five years. Credit card spends have registered a robust growth, growing at a CAGR of 32 per cent from fiscal 2015 to fiscal 2019 to reach Rs 6 lakh crore as of fiscal 2019, and is expected to grow at a healthy rate to reach Rs 15 lakh crore as of fiscal 2024, which is 2.5 times over fiscal 2019, according to CRISIL




Price band between : 750 to 755

Expected listing gains : 40%




Expired 3 months

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538 Comments  |  
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Deal Newbie
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New to ipos, how much is size of min lot to invest and how much max will it cosf?
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Deal Newbie
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myandroid20156735 wrote:
New to ipos, how much is size of min lot to invest and how much max will it cosf?

12-15000 min

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Deal Cadet
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Can you subscribe for IPOs in upstox??? And also what are the charges

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Deal Subedar
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hyderabadibiryani wrote:

Can you subscribe for IPOs in upstox??? And also what are the charges

Yes we can apply I upstox as I applied in the last IPO.

For delivery trade it’s 0 brokrage

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Deal Cadet
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Ab ipo bhi desidime me

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Shopping Friend
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Ahead of IPO, SBI Cards sees fintechs, UPI as formidable competition

SBI Cards and Payment Services has stated new-age fintech-led payments mode, including Unified Payments Interface (UPI), as formidable competitors, in a filing of prospectus for its upcoming initial public offering (IPO).

Before going for an IPO, it is mandatory for a company to list out its risk factors so that the public is able to make an informed decision. In its prospectus, SBI Cards said the primary competition for the company continued to be other credit card issuers, and debit card issuers to a certain extent.

However, new players with innovative products have emerged. The credit card company has competitions from businesses that operate their own mobile wallets or extend credit to their customers and other fintech service providers.

“Mobile, e-wallet, and tokenisation platforms, including the increasingly prevalent UPI, may present formidable competition as they are able to attract large payment volumes at low or no payment processing fees to merchants,” SBI Cards said in its prospectus.

SBI Cards expects competition to intensify in future. For example, many credit card issuers have instituted rewards programmes that could be on a par or better in the eyes of the customers.

“As competitive pressures intensify, we may be required to expend additional resources to offer a more attractive value proposition to our cardholders, which could negatively impact our profit margins. In addition, although we continue to benefit from relatively high interest rates on our general purpose credit card portfolio, increasing competition may exert downward pressures on the interest rates we are able to charge our customers, which would ultimately erode our margins,” the company said.

SBI Cards’ asset quality remained largely healthy. As of December 31, the gross non-performing assets (NPAs) as percentage of gross advances was 2.47 per cent, and net NPA as percentage of net advances was 0.83 per cent.

This is a slight deterioration from the March 31, 2019, level when the gross NPA ratio was 2.44 per cent and net NPA ratio was at 0.83 per cent. In March 2018, the gross and net NPa ratios were at 2.83 per cent and 0.94 per cent respectively.

Among other things, the level of the NPAs for a card company is affected by “the general level of economic growth in India, the amount of non-performing loans written-off and our credit approval and monitoring policies.”

Other factors include a rise in unemployment, prolonged recessionary conditions, decline in household savings and income levels, a sharp and sustained rise in interest rates, etc, it said.

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Deal Cadet
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disappointed_relieved cold_sweat innocent
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varun_ wrote:

Yes we can apply I upstox as I applied in the last IPO.

For delivery trade it’s 0 brokrage

what is the benefit of referral

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abhishek012 wrote:

Ahead of IPO, SBI Cards sees fintechs, UPI as formidable competition

SBI Cards and Payment Services has stated new-age fintech-led payments mode, including Unified Payments Interface (UPI), as formidable competitors, in a filing of prospectus for its upcoming initial public offering (IPO).

Before going for an IPO, it is mandatory for a company to list out its risk factors so that the public is able to make an informed decision. In its prospectus, SBI Cards said the primary competition for the company continued to be other credit card issuers, and debit card issuers to a certain extent.

However, new players with innovative products have emerged. The credit card company has competitions from businesses that operate their own mobile wallets or extend credit to their customers and other fintech service providers.

“Mobile, e-wallet, and tokenisation platforms, including the increasingly prevalent UPI, may present formidable competition as they are able to attract large payment volumes at low or no payment processing fees to merchants,” SBI Cards said in its prospectus.

SBI Cards expects competition to intensify in future. For example, many credit card issuers have instituted rewards programmes that could be on a par or better in the eyes of the customers.

“As competitive pressures intensify, we may be required to expend additional resources to offer a more attractive value proposition to our cardholders, which could negatively impact our profit margins. In addition, although we continue to benefit from relatively high interest rates on our general purpose credit card portfolio, increasing competition may exert downward pressures on the interest rates we are able to charge our customers, which would ultimately erode our margins,” the company said.

SBI Cards’ asset quality remained largely healthy. As of December 31, the gross non-performing assets (NPAs) as percentage of gross advances was 2.47 per cent, and net NPA as percentage of net advances was 0.83 per cent.

This is a slight deterioration from the March 31, 2019, level when the gross NPA ratio was 2.44 per cent and net NPA ratio was at 0.83 per cent. In March 2018, the gross and net NPa ratios were at 2.83 per cent and 0.94 per cent respectively.

Among other things, the level of the NPAs for a card company is affected by “the general level of economic growth in India, the amount of non-performing loans written-off and our credit approval and monitoring policies.”

Other factors include a rise in unemployment, prolonged recessionary conditions, decline in household savings and income levels, a sharp and sustained rise in interest rates, etc, it said.

Thanks for revealing this risk to this stock.

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Perfectionist
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Offer is of Sbi ipo, but dramatically first 5-6 lines says about your referal..
Stick to topic.

And don’t mention half information about upstock. It’s not completely free. You have to pay annual AMC and other brokerage.

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Deal Hunter
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any broker suggestion who dont charge for demat account ?

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Deal Cadet
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anshu wrote:

any broker suggestion who dont charge for demat account ?

no one

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Deal Subedar
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Finvasia

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Entertainer
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Note : Only go for known stock brokers in the market like Major banks, full time brokers (sharekhan, edelweiss) and discount brokers (zerodha, Upstox).

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Deal Subedar
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anshu wrote:

any broker suggestion who dont charge for demat account ?

Who charges least is upstox and zerodha

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Deal Hunter
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anshu wrote:

any broker suggestion who dont charge for demat account ?

Check with Kotak Sec , also go for basic demat account.

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Deal Subedar
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cancob wrote:

Check with Kotak Sec , also go for basic demat account.

Used Kotak before its a full time Broker ( charges are high ) . If you need call and trade facility go for it

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Deal Cadet
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Can anyone tell me how to buy IPO in upstox…thanks for ur help in advance

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Deal Subedar
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stita25101 wrote:

Can anyone tell me how to buy IPO in upstox…thanks for ur help in advance

Open your net banking and add your dp id by clicking ASBA option.


And apply your ipo on march 2nd

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Deal Newbie
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Share market related loots, stock suggestions, ipo discussion etc are a welcome move and if it become part of desidime, may be this will be set new hight for this platform. ..so this part should also include in desidime… Don’t know how many will be agree? But can give a try for that

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Deal Subedar
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I have earlier demat in karvy.. But after disaster.. Shifted to Kotak.. Can anybody confirm how much time does it take to transfer holdings..
Also I had ncd in retail status… Will they be transferred too

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Deal Newbie
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I would suggest that ppl should go for an established player like Zerodha which is a solid company and the charges are minimal. Never heard of upstox except for forums where ppl want to earn referrals. The amount is not worth the headache

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Deal Cadet
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Motilal oswal has AMC of 200, with first year free (not sure)

Enquire with local office of motilal oswal

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Deal Subedar
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I have a Zerodha account…I can purchase SBI Cards IPO using Zerodha right…
Not been in shares for long Time. Always wanted to purchase IPO – Never cud, This time I am planning.

  • Always hear IPO price increase one first day itself, so my plan is to sell it off soon. Atleast that’s what I think.

Tats I wat my intention and plan – Earn 20% profit or more – But there wil be some catch right- Can someone clear me.

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Deal Subedar
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itzdreaming wrote:

I have a Zerodha account…I can purchase SBI Cards IPO using Zerodha right…
Not been in shares for long Time. Always wanted to purchase IPO – Never cud, This time I am planning.

  • Always hear IPO price increase one first day itself, so my plan is to sell it off soon. Atleast that’s what I think.

Tats I wat my intention and plan – Earn 20% profit or more – But there wil be some catch right- Can someone clear me.

Hmm That’s why IRCTC have double even after listing at 50% premium.

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Deal Subedar
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itzdreaming wrote:

I have a Zerodha account…I can purchase SBI Cards IPO using Zerodha right…
Not been in shares for long Time. Always wanted to purchase IPO – Never cud, This time I am planning.

  • Always hear IPO price increase one first day itself, so my plan is to sell it off soon. Atleast that’s what I think.

Tats I wat my intention and plan – Earn 20% profit or more – But there wil be some catch right- Can someone clear me.

It is very difficult to get allotment in case of good IPO’s. Good IPO’s are subscribed multiple times so only some subscribers get’s the allotment. So, that’s the catch, you can always get some good profits if you been able to get some allotment.

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Deal Subedar
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manish.kumar19 wrote:

It is very difficult to get allotment in case of good IPO’s. Good IPO’s are subscribed multiple times so only some subscribers get’s the allotment. So, that’s the catch, you can always get some good profits if you been able to get some allotment.

So the only problem is Buying the IPO – Like in Shopping it may get out of stock.

So when everyone starts purchasing and my order goes through the I will be able to get it.Right.

And I sell it next day I want to right gher is no issues right.

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Deal Cadet
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manish.kumar19 wrote:

It is very difficult to get allotment in case of good IPO’s. Good IPO’s are subscribed multiple times so only some subscribers get’s the allotment. So, that’s the catch, you can always get some good profits if you been able to get some allotment.

SBI cards ipo is huge and there shouldn’t be an issue with subscribtion. Almost all will get it, but will it behave like irctc … I don’t know.

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