Incorporated in 1984, Five Star Business Finance Limited is an NBFC-ND-SI (Non-Banking Finance Company) providing secured business loans to micro-entrepreneurs and self-employed individuals. The company has an extensive network of 268 branches as of September 30, 2021, spread across approximately 126 districts, eight states and one union territory, with Tamil Nadu, Andhra Pradesh, Telangana and Karnataka being the key states.
Five Star Business Finance Limited has created a business model based on identifying an appropriate risk framework and the ideal instalment-to-income ratio to make sure that customers have the resources to repay the loan after meeting their regular obligations and other event-based capital requirements.
The company is headquartered in Chennai, Tamil Nadu with a strong presence in south India. As of September 30, 2021, we had a total of 4,306 employees.
The company has provided loans to more than 185,000 customers in total. They had an active loan base of 176,467 as of March 31, 2021.
With more than 30,000 million in AUM, the company has the fasted AUM growth among the compared peers. As of September 30, 2021, and March 31, 2021, the company’s Total Borrowings were Rs. 28,542.54 million and Rs. 34,251.97 million, respectively.
Company Financials
| Period Ended | Total Assets | Total Revenue | Profit After Tax | Net Worth | Total Borrowing |
|---|---|---|---|---|---|
| 31-Mar-19 | 2361.17 | 408.99 | 156.41 | 1364.88 | 960.03 |
| 31-Mar-20 | 4353.15 | 787.35 | 261.95 | 1944.58 | 2363.69 |
| 30-Sep-20 | 5257.38 | 504.48 | 189.13 | 0 | 0 |
| 31-Mar-21 | 5793.61 | 1051.26 | 358.99 | 2318.17 | 3425.2 |
| 30-Sep-21 | 6374.58 | 611.24 | 217.55 | 3453.31 | 2854.25 |
| Amount in ₹ Crore |
Objects of the Issue
The Company will not receive any proceeds from the Offer and all such proceeds will go to the Selling Shareholders.
Five Star Business Finance IPO Details
| Five Star Business Finance IPO Date | to |
| Five Star Business Finance IPO Face Value | ₹1 per share |
| Five Star Business Finance IPO Price | [.] to [.] per share |
| Five Star Business Finance IPO Lot Size | |
| Issue Size | [.] shares of ₹1 (aggregating up to ₹2,751.95 Cr) |
| Offer for Sale | [.] shares of ₹1 (aggregating up to ₹2,751.95 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| QIB Shares Offered | Not more than 50% of the Offer |
| NII (HNI) Shares Offered | Not less than 15% of the Offer |
| Retail Shares Offered | Not less than 35% of the Offer |
| Company Promoters | Lakshmipathy Deenadayalan, Hema Lakshmipathy, Shritha Lakshmipathy, Matrix Partners India Investment Holdings II, LLC and SCI Investments V are the company promoters. |
Five Star Business Finance IPO Promoter Holding
| Pre Issue Share Holding | 44.16% |
| Post Issue Share Holding |
Company Contact Information
Five Star Business Finance Ltd.
New No. 27, Old No. 4,
Taylor’s Road, Kilpauk,
Chennai 600 010
Phone: +91 44 4610 6260
Email: cs@fivestargroup.in
Website: https://fivestargroup.in/
Five Star Business Finance IPO Registrar
KFin Technologies Limited
Phone: 04067162222, 04079611000
Email: einward.ris@kfintech.com
Website: https://karisma.kfintech.com/