Company Overview
Manipal Payment and Identity Solutions Limited (formerly MCT Cards & Technology Limited) is among the largest manufacturers of payment cards globally and in India, operating in Payment Solutions, Identification Solutions, and Secure Solutions. The company holds estimated market shares of 30.9% in debit cards and 36.4% in credit cards in India, ranking 11th globally in shipment of payment cards with chips. It operates 10 facilities across India with annual capacity of 118.97 million cards and maintains certifications from all major payment networks including Visa, Mastercard, and RuPay.
Offer Details
The IPO comprises a total offer of 23,746,313 Equity Shares aggregating to ₹8,050 million, including a fresh issue of 9,439,528 shares (₹3,200 million) and an offer for sale of 14,306,785 shares (₹4,850 million) by promoter Manipal Technologies Limited. The price band is set at ₹322-339 per share, with the offer opening on September 9, 2026 and closing on September 11, 2026. Five book running lead managers including Axis Capital, ICICI Securities, and IIFL Capital are managing the offering.
Financial Performance
The company demonstrated strong financial performance with revenue from operations growing to ₹13,267.53 million in Fiscal 2026 from ₹12,475.22 million in Fiscal 2024. EBITDA margin improved significantly to 33.60% in Fiscal 2026 from 28.04% in Fiscal 2024, while profit after tax stood at ₹2,534.62 million in Fiscal 2026. The company maintains healthy profitability metrics with return on equity of 22.93% and strong operating cash flow generation.
Use of Proceeds
Net proceeds of ₹2,384 million from the fresh issue will fund capital expenditure for purchasing and setting up new and second-hand equipment across multiple facilities including card manufacturing in Manipal, personalization bureaus in Chennai, Noida, and Navi Mumbai, and smart tagging facilities. The remaining ₹816 million will be utilized for general corporate purposes and potential inorganic growth opportunities.
Risk Factors
Key risks include high customer concentration with top 10 customers contributing 58.67% of revenue in Fiscal 2026, ongoing tax litigation involving ₹1,432.77 million across multiple cases, and competitive pressure from digital payment methods like UPI affecting debit card demand. The company also faces regulatory compliance risks, foreign exchange volatility affecting international operations, and integration risks from recent acquisitions totaling ₹4,150 million.
Market Position & Growth Prospects
The company benefits from India's growing payment cards market, projected to reach ₹60,542 million by 2030 growing at 20.7% CAGR. Metal cards represent a significant growth opportunity with expected global CAGR of 15% from 2025-2030. With low payments card penetration in India (1 per capita aged 15+) compared to developed markets, and expanding international operations across UK, Singapore, UAE, and Nigeria, the company is well-positioned for continued growth.
Legal & Regulatory Compliance
The company has received SEBI observations and in-principle approvals from BSE and NSE for listing. It maintains multiple regulatory certifications including PCI-DSS, ISO standards, and payment network approvals. However, it faces several tax disputes and has historical instances of non-compliance with RBI reporting requirements. The IPO complies with SEBI ICDR Regulations and foreign investment restrictions, with FPI investment limited to 10% per investor and aggregate sectoral cap of 100%.