MobiKwik has proposed to its shareholders a reallocation of ₹182.2 crore unspent from its December 2024 IPO proceeds and an extension of the timeline for utilising some funds until FY27, according to a postal ballot notice issued today. The company raised ₹572 crore in the IPO, with net proceeds of ₹530.5 crore after expenses, of which ₹348.4 crore has already been used as of March 31, 2026.
The fintech plans to divert ₹60.85 crore originally set aside for organic growth of its financial services business to its wholly owned subsidiary, MobiKwik Distribution Services Private Limited (MDSPL). It also intends to reallocate ₹33.65 crore from the payment devices business to the payment services business and assign ₹3.91 crore from unutilised IPO issue expenses to general corporate purposes. Additionally, ₹25.26 crore earmarked for data, machine learning, artificial intelligence, product, and technology initiatives will have its utilisation timeline extended to FY27.
This reallocation coincides with MobiKwik's plan to sell its lending services provider business to MDSPL. The move reflects a strategic shift to support its lending and payments businesses more directly through its subsidiaries. The extension of funds for AI and technology initiatives aligns with ongoing efforts to enhance its product offerings in a competitive fintech market.
MobiKwik's proposal is now pending shareholder approval via postal ballot. The company had utilised ₹348.4 crore of the IPO proceeds by March 31, 2026, leaving ₹182.2 crore unspent, which it aims to reallocate and deploy under the revised plan by FY27.