Home / Business and Economy / Super Investor Bets: Manipal Cards vs. Fratelli Wines
Super Investor Bets: Manipal Cards vs. Fratelli Wines
26 Sep
Summary
- Manipal Payment Solutions led credit card issuance with 36% share.
- Mukul Agrawal's large bet on Manipal cards persists post-IPO.
- Fratelli Vineyards saw investor exit amid stock rebound.
Mukul Agrawal of Param Capital made a substantial investment of Rs 210 crore in Manipal Payment and Identity Solutions, a key player in India's card market. The company, which issued 36.4% of India's credit cards in FY26, saw Agrawal buy into its IPO despite a lukewarm reception and promoter share sales.
Agrawal's significant stake, held by choice and SEBI rules, contrasts with Porinju Veliyath's smaller bet on Fratelli Vineyards. Veliyath initially invested Rs 5.49 crore but later reduced his holding below 1% as the wine company navigated a challenging transition from its trading business.
Manipal Payment and Identity Solutions reported strong ROCE of 43% but faces risks from the shift to UPI. Fratelli Vineyards, a loss-making entity, is valued at 4.3 times book value, drawing comparisons to Sula Vineyards amidst its turnaround efforts.
The contrasting moves underscore the importance of position sizing for retail investors. Agrawal's large, sustained bet in a profitable business differs from Veliyath's trimmed position in a company still seeking profitability, offering timing and risk management lessons.
