Laxmi India Finance IPO Subscribed 1.87 Times
- IPO Subscribed 1.87x – Received bids for 2.11 crore shares vs. 1.13 crore on offer; retail portion subscribed 2.22x.
- Rs 254.26 Cr Issue Size – Includes fresh issue and OFS; promoter stake to reduce from 89.1% to 60.5%.
- Strong Financials – FY25 net profit at Rs 36.01 Cr; AUM at Rs 1,277 Crore with 76% from MSME loans.
Laxmi India Finance's initial public offering (IPO) garnered robust investor interest, with the issue being subscribed 1.87 times. The offering received bids for 2.11 crore shares against the 1.13 crore shares on offer, reflecting healthy appetite from all investor segments.
The IPO, which was open for subscription from July 29 to July 31, 2025, was priced in a band of Rs 150 - Rs 158 per equity share. The retail investor category was the most enthusiastic, subscribing 2.22 times, followed by non-institutional investors (NIIs) at 1.84 times. Qualified institutional buyers (QIBs) also participated actively, with their portion being subscribed 1.30 times.
The IPO comprised a fresh issue of 1.045 crore equity shares and an offer-for-sale (OFS) of 56.39 lakh equity shares by promoters. At the upper end of the price band, the fresh issue aims to raise Rs 165.17 crore, while the OFS is expected to garner Rs 89.09 crore. Post-issue, promoter holding will come down to 60.5% from 89.1%.
Proceeds from the fresh issue will be used to augment the company’s capital base to support future growth. The listing will also enhance brand visibility and create a public market for its shares.
Laxmi India Finance, incorporated in 1996, is a non-deposit-taking NBFC with a focus on underserved segments in rural, semi-urban, and urban areas across five Indian states. With 158 branches and a customer base exceeding 35,000, the company offers MSME, vehicle, and construction loans. Notably, MSME loans form over 76% of its total assets under management (AUM), which stood at Rs 1,277 crore as of March 2025.
The company boasts a capital adequacy ratio of 20.80% and an A- (Positive) credit rating from Acuite. It has demonstrated a two-year AUM CAGR of 36%, driven by digital integration and a strong risk management framework.
On July 28, 2025, ahead of the public issue, Laxmi India Finance raised Rs 5 crore from 11 anchor investors by allotting 3.16 lakh shares at Rs 158 per share.
For the fiscal year ending March 31, 2025, the firm reported a consolidated net profit of Rs 36.01 crore and revenue of Rs 245.71 crore, showcasing a solid financial performance ahead of its market debut.
