Aye Finance gets approval for Rs.1,450 crore IPO, Know all details of IPO and Download Prospectus
Aye Finance Ltd, a financial company based in Gurugram that lends money to small businesses, has received approval from SEBI (Securities and Exchange Board of India) to launch its Initial Public Offering (IPO). Through this IPO, the company plans to raise ₹1,450 crore.
The IPO has two parts:
- Fresh Issue – worth ₹885 crore, which is new money coming into the company.
- Offer for Sale (OFS) – worth ₹565 crore, where existing investors like LGT Capital, CapitalG (Google’s investment arm), and A91 Emerging Fund will sell some of their shares.
Aye Finance IPO DRHP Status
| Description | Date |
|---|---|
| Filed with SEBI/Exchange | Fri, Dec 20, 2024 |
| SEBI approval received | Thu, Apr 3, 2025 |
The money raised from the fresh issue will be used by Aye Finance to strengthen its financial position, help it grow further, and meet general business expenses. The company may also decide to raise an extra ₹177 crore separately, which could reduce the amount it plans to raise in the fresh issue.
Aye Finance mainly lends to micro, small, and medium enterprises (MSMEs) – small businesses that often struggle to get loans from big banks. As of September 2024, the company had over 5 lakh active customers and was managing loans worth ₹4,979.76 crore.
Aye Finance Limited Financial Information (Restated)
| Period Ended | 30 Sep 2024 | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
| Assets | 5,822.51 | 4,873.05 | 3,129.46 | 2,315.64 |
| Revenue | 717.05 | 1,071.75 | 643.34 | 443.49 |
| Profit After Tax | 106.93 | 171.27 | 46.84 | -50.37 |
| Net Worth | 1,596.63 | 1,236.11 | 757.95 | 705.41 |
| Total Borrowing | 4,083.1 | 3,498.99 | 2,296.16 | 1,520.74 |
| Amount in ₹ Crore | ||||
Key Performance Indicator (KPI)
| KPI | Values |
|---|---|
| ROE | 17.22% |
| Debt/Equity | 2.83 |
| RoNW | 17.22% |
According to a report by CRISIL (a rating agency), Aye Finance is the fastest-growing NBFC (Non-Banking Financial Company) that focuses on MSMEs in India. Between FY23 and FY24, the company’s total managed assets grew by 64%, which is a very strong performance.
Aye Finance provides both secured and unsecured loans (like mortgage loans and loans for equipment or vehicles) to people working in sectors such as manufacturing, trading, and agriculture. It is known for offering small business loans, usually around ₹1.5 lakh, and for having a wide reach across India compared to other similar lenders.
The IPO is being managed by well-known financial firms like Axis Capital, IIFL Capital, JM Financial, and Nuvama Wealth, while KFin Technologies will handle investor registrations.
The fact that big investors like LGT Capital and CapitalG are selling part of their stake shows that the company is backed by trusted institutions. Overall, Aye Finance’s focus on small businesses and its fast growth make its IPO a major event to watch in the Indian financial market. If the company goes ahead with raising additional funds, this will be handled in coordination with the lead managers and may change the final size of the IPO.
