The Financial Regulatory Commission (FRC) has approved the proposed initial public offering (IPO) of Lend.mn, a registered non-banking financial institution that offers quick loans up to one million MNT without collateral.
The FRC has registered 800 million shares for Lend.mn at 10 MNT per share. From the total share, 12.5 percent or 100 million shares will be offered to the public on the Mongolian Stock Exchange. An additional 100 million shares will be sold to selected investors at 25 MNT per share.
Lend.mn is a non-banking financial institution that offers same day loans between 50,000 MNT and one million MNT for up to 30 days. Lend.mn uses its mobile app to provide personal loans to any Mongolian citizen aged 18 or above. Potential debtors are also required to have a steady income paid to a bank account and must not have a registered, non-performing loan.
The IPO is expected to raise five billion MNT and will go towards financing future loans. If the IPO receives orders over 80 percent of its 100 million shares, the FRC will determine the IPO as successful and annul the remaining shares.
Mirae Asset Securities Mongolia is working as the underwriter of the IPO, while Ernst & Young Mongolia Audit LLC conducted auditing services, law firm MDSKhanLex LLP is providing legal consultancy, and Gerege Estimate LLC provided asset valuation.