ADIA Nets INR 39 Cr After Exiting MobiKwik Amid Mini Rally

Amid fintech major MobiKwik’s gains today (September 1), Abu Dhabi Investment Authority (ADIA) has laid off its entire stake of 16.44 Lakh shares or 2.1% stake in the company. The investor sold its stake via open transactions valuing it one share of MobiKwik at INR 238.45 apiece. 

About 5 Lakh shares offloaded were lapped up by BoFA Securities for INR 12.2 Cr while the rest were bought by Musigma Securities for INR 28 Cr. 

The Middle East sovereign fund picked up a minority stake in the new-age tech company in 2021, when it infused INR 14.89 Cr in the fintech company at a $700 Mn valuation. ADIA held 2.8% stake or 16.63 Lakh shares in the company at the time of its IPO. 

The stake sale comes amid a slight uptick in MobiKwik’s share price on Monday, September 1. The stock ended the trading session up 7.94% at INR 237.25, but it had touched a fresh all-time low of INR 218.85 in the previous session on Friday (August 29). 

The rally could be attributed to high trading for MobiKwik on the day. About 2.2 Cr shares changed hands, compared with the 20-day average of 7 Lakh. 

Despite the mini rally, MobiKwik’s shares are down 61% year-to-date and 47% from its listing price of INR 442.25. In contrast to the post listing performance, the fintech company’s shares listed at a 58.5% premium in December after its IPO closed with an oversubscription of a whopping 119.4X. 

Mobikwik has witnessed a bearish investor sentiment mainly due to its weak financial performance over several quarters and ongoing losses. After reporting two consecutive loss making quarters in the shape of Q3 FY25 and Q4 FY25, MobiKwik’s losses zoomed a 535% YoY to INR 42 Cr in Q1 FY26. Meanwhile, its operating revenue plunged 21% YoY to INR 271.4 Cr. 

For the full fiscal year FY25, MobiKwik reported a net loss of INR 121.53 Cr as against a net profit of INR 14.1 Cr in the previous year. Operating revenue grew 33.7% to INR 1,170.2 Cr from INR 875 Cr in FY24.