Ugro Capital – Opportunity To Invest in a Fintech-like Company Below Book Value

1. Even you add up all the shares and warrant, the Mcap would be around 3900cr but the CCDs and Warrants are convertible after 18months. By that time the company will have used the money to lend more and get more profit. If you add the capital raise of 1332cr and current networth of 1440.
   The total net worth = 2772cr
   Total share = 9.3 + 5= 14.4cr
   BV= 193 INR
   CMP/BV= 1.39

Now, are any of the mutual funds getting such a pristine quality NBFC at such as cheap valuation? I doubt.

SBFC, Fivestar and Ugro are all MSME lender, i guess we can compare them. Also, their target customers in many ways are also similar.