Highlights
| Issue Size – 2,37,46,313 shares | Issue Open/Close – 9 Sep / 11 Sep, 2026 |
| Price Band (Rs.) 322 – 339 | Issue Size (Rs.) – 8,050 mn |
| Face Value (Rs) 2 | Lot Size (shares) – 44 |
Manipal Payments & Identity Solutions Limited (MPISL) incorporated in 2008 and provides payments solutions, identifications solutions, secure solutions, and smart tagging and internet of things (IOT) solutions to banks, fintechs, non-banking finance companies and governments, across domestic and international jurisdictions.
Their (i) payment solutions primarily comprise payment cards, cheque solutions, near-field communication (“NFC”)/QR codes, payment-enabled wearables, and digital automation solutions. Their (ii) identification solutions primarily comprise driving licenses, registration certificates, national identity cards, among others, along with transit management solutions. (iii) secure solutions primarily comprise secure logistics, personalization of insurance policies, premium notices, renewal letters and marketing collaterals, along with security-enhanced packaging such as tamper-evident envelopes, holograms and coated products. (iv) Smart tagging and IOT solutions primarily entail printing of excise labels with holograms and encrypted QR codes for various state excise departments, IOT and track and trace solutions with radio-frequency identification (RFID) tags, and anti-counterfeiting solutions.
MPISL pioneered the manufacturing of National Common Mobility Cards in 2024 in partnership with Airtel Payments Bank and also launched India’s first recyclable polyvinyl chloride (rPVC) Rupay card. Additionally, they are one of the leading metal card manufacturers in India holding a patent for metal cards manufacturing.
Company had an estimated market share of ~36.4 pct in the credit card issuance market and 30.9 pct in the debit card issuance market in India for FY26 and billed 13.54 mn credit cards and 72.66 mn debit cards during FY26.
Out of the total proceeds of Rs. 8,050 mn, Rs. 2,385 mn would go towards capital expenditure on Equipment. ~Rs. 815 mn would go towards general corporate purpose. Additionally, Rs. 4,850 mn going towards promoter selling shareholders of the company.
Key Highlights
- Global payment cards in circulation are expected to grow from 19.1 bn in 2024 to 22.4 bn by 2030 at a 2.7 pct CAGR, and circulation in India stood at 335 mn in FY25 projected to reach 535 mn by FY30 at CAGR of 13.1 pct. India’s government smart card market is expected to grow from 25.7 mn units to 40.2 mn units at a 6.7 pct CAGR between CY25-30, while market value to rise from Rs. 2.19 bn to Rs. 5.88 bn at a 22.5 pct CAGR.
- MPISL have adopted a hub and spoke model in India by establishing a large manufacturing facilities and multiple personalization bureaus, in other jurisdictions, they either sell base cards with tie-ups involving local bureaus for personalization, or sell the base cards to banks, who in turn undertake personalization.
- MPISL plans to strengthen bundled offerings across cards, cheques and logistics as banks increasingly prefer bundled solutions to engage fewer vendors and achieve cost and time efficiencies. It aims to expand and market these offerings to existing clients while pursuing new customers, helping streamline operations & reduce logistics costs.
- Metal cards demand is rising in India as banks and fintechs increasingly adopt them to serve premium customers and MPISL is well positioned to capture this through its patented manufacturing process, Mastercard certification and expanding capacity with new card variants. Its domestic manufacturing base offers faster turnaround and lower logistics costs than global producers, while its Make in India positioning supports preference for PSB card supply.
- MPISL proposes to purchase and set up new and second-hand equipment across card manufacturing, personalization, cheque printing, Smart Tagging & IoT facilities and RTO card processing centres. The capex will expand capacity across existing and new verticals, replace leased equipment, support new products including metal cards and IoT devices, and maintain buffer capacity for business continuity.
- MPISL’s key growth strategies include (i) To increase its payment cards market share globally, (ii) focus on growing its metal cards portfolio, (iii) consolidate market leadership in India, (iv) diversify offerings through identity solutions projects, (v) expanding tax stamps solutions across Indian and international jurisdictions, (vi) increase capacity to cater to increasing demand, (vii) continue to innovate, advance its technology and expand offerings, and (viii) pursue inorganic growth opportunities.
- The sales of the company have grown by 3.13 pct CAGR over FY24-26 and EBITDA/profit has grown 13.22 pct CAGR/0.86 pct CAGR over same year. In FY26 the company reported sales of Rs. 13,268 rose 5.63 pct YoY. EBITDA of the company rose 11.50 pct YoY to Rs. 4,558 mn. In FY26 the company posted profit of Rs. 2,535 mn, which increased 10.17 pct YoY.
Key Risk
- Any slowdown, system outages, or disruption in its manufacturing operations, personalization bureaus and printing facilities could adversely impact its business operations and results.
- MPISL’s IT infrastructure is critical to protecting sensitive information, any breaches or disruptions from cyber-attacks, data theft, ransomware or encryption failures could compromise customer data, disrupt operations and adversely affect its business.
- MPISL operations are subject to increasing regulatory requirements and data protection laws, any non-compliance could adversely affect its business.
Financial Performance
| Particulars (Rs. mn) | FY24 | FY25 | FY26 | CAGR | YoY |
| Sales | 12,475 | 12,561 | 13,268 | 3.13% | 5.63% |
| EBITDA | 3,556 | 4,088 | 4,558 | 13.22% | 11.50% |
| EBITDA margin % | 28.51% | 32.55% | 34.35% | ||
| Profit | 2,492 | 2,822 | 2,535 | 0.86% | 10.17% |
| Profit margin % | 19.98% | 22.47% | 19.12% | ||
| ROE % | 79.42% | 55.08% | 29.35% | ||
| ROCE % | 51.95% | 33.97% | 32.69% | ||
| Fixed Asset Turnover (X) | 9.78 | 7.27 | 4.73 |
Source: – RHP.
Peer Comparison based on FY26 Financials.
| Particulars (Rs. mn) | Manipal Payments & Identity Solutions | Seshaasai Technologies |
| Sales | 13,268 | 14,411 |
| EBITDA | 4,558 | 3,941 |
| EBITDA margin % | 34.35% | 27.35% |
| Profit | 2,535 | 2,400 |
| Profit margin % | 19.12% | 16.65% |
| ROE % | 29.35% | 16.83 |
| ROCE % | 32.69% | 22.89% |
Valuation
Manipal Payments and Identity Solutions Limited (MPISL) is one of India’s largest banking and smart card manufacturers and a trusted partner for global banks, fintechs, and governments. Their comprehensive card services cover the entire spectrum – creation, design, manufacturing, and delivery to the end customer. At the upper end of the price band of Rs. 339, the issue is priced at an PE of 31 its FY26 post issue capital. The issue appears to be fully priced.
Disclaimer: The views shared in blogs are based on personal opinions and do not reflect the company’s views. Investment involves risk, and it is advisable to consult a financial advisor before making any investment through the app. The decision to invest is solely that of the investor, and the company or its communication cannot be held responsible for it.
