MobiKwik has sought shareholder approval to revise the utilisation of a portion of its unspent IPO proceeds and extend the timeline for deploying the remaining funds

MobiKwik had raised ₹572 Cr through its initial public offering in December 2024. After deducting issue- expenses, the company received net proceeds of ₹530.5 Cr

As of March 31, 2026, the company had utilised ₹348.4 Cr of the net proceeds, leaving ₹182.2 Cr unspent

Listed fintech MobiKwik has sought shareholder approval to revise the utilisation of a portion of its unspent IPO proceeds and extend the timeline for deploying the remaining funds.

In a postal ballot notice issued today, the company proposed reallocating the IPO funds from existing IPO objectives to support its lending and payments businesses. It has also sought approval to extend the utilisation timeline for some of the remaining proceeds until FY27.

MobiKwik had raised ₹572 Cr through its initial public offering in December 2024. After deducting issue- expenses, the company received net proceeds of ₹530.5 Cr.

As of March 31, 2026, the company had utilised ₹348.4 Cr of the net proceeds, leaving ₹182.2 Cr unspent.

Under the proposed changes, MobiKwik plans to divert ₹60.85 Cr originally earmarked for the organic growth of its financial services business to its wholly owned subsidiary, MobiKwik Distribution Services Private Limited (MDSPL).

Besides, the company also plans to reallocate ₹33.65 Cr from the payment devices business to its payment services business. Additionally, ₹3.91 Cr from unutilised IPO issue expenses will be reassigned to general corporate purposes.

MobiKwik has proposed extending the utilisation timeline for ₹25.26 Cr allocated towards data, machine learning, artificial intelligence, product and technology initiatives until FY27.

The proposed reallocation comes as MobiKwik looks to sell its lending services provider business to MDSPL, its wholly owned subsidiary, in a slump sale. The transfer is linked to conditions imposed by the Reserve Bank of India while approving the group’s NBFC licence application.

Notably, RBI approved the licence application of MobiKwik Financial Services Private Limited earlier this year, subject to the transfer of the LSP business from the listed entity to MDSPL.

The LSP business facilitates digital loans and credit products for partner banks and NBFCs by handling customer acquisition, underwriting support, servicing and collections.

For FY26, the business contributed 22.7% of MobiKwik’s total revenue, generating ₹261.4 Cr. The undertaking had a book value of ₹95.2 Cr as of March 31, 2026. The company plans to transfer the business on a slump sale to MDSPL, with consideration to be settled through non-convertible debentures issued by the subsidiary to MobiKwik.

Separately, MobiKwik is also seeking shareholder approval to amend its memorandum to add a new sub-clause.

The addition will allow MobiKwik to “carry on the business of a payment aggregator, payment gateway, payment intermediary, and to collect, process, settle, and remit payments on behalf of merchants and individuals through any electronic or digital mode including credit/debit cards, UPI, net banking, mobile wallets”, the company’s disclosure read.

This is a requirement linked to its application for authorisation under RBI’s payment aggregator framework. Important to mention that received RBI’s an in-principle approval to operate as a payment aggregator-physical (PA-P) licence last week. Last year, its subsidiary Zaakpay received the apex bank’s nod to operate as an online payment aggregator.

Shares of MobiKwik ended 0.49% higher at ₹194.4 on BSE today.