Laxmi India Finance's initial public offering (IPO) witnessed a lukewarm response on its first day, being subscribed 0.37 times overall. The IPO, which aims to raise ₹254.26 crore, opened for subscription on July 29, 2025, and will close on July 31, 2025. The issue is priced between ₹150 and ₹158 per share.
The IPO consists of a fresh issue of 1.05 crore shares aggregating to ₹165.17 crore and an offer for sale of 0.56 crore shares aggregating to ₹89.09 crore. The minimum lot size for an application is 94 shares, requiring a minimum investment of ₹14,100 at the upper price band.
Retail investors showed relatively higher interest, subscribing to 0.61 times the shares reserved for them. In comparison, the Non-Institutional Investor (NII) segment was subscribed 0.19 times, with qualified institutional buyers (QIBs) showing minimal interest at 0.10 times. Within the NII category, bids above ₹10L were subscribed 0.10 times, while bids below ₹10L were subscribed 0.38 times. The employee reserved category experienced 0.41 times subscription for the 1.60 lakh shares allocated to it. Total applications reached 31,960 on day one.
The Grey Market Premium (GMP) for Laxmi India Finance IPO has seen a decline, with the shares trading at a premium of ₹9 in the grey market, according to investorgain. This suggests a potential listing price of around ₹167, approximately 5.70% higher than the IPO price of ₹158. However, it's worth noting that the GMP has fallen from ₹18, indicating fluctuating investor sentiment.
Laxmi India Finance, a non-banking financial company (NBFC) incorporated in 1996, specializes in providing MSME and vehicle loans, primarily in semi-urban and rural markets. Based out of Jaipur, Rajasthan, the company has a presence across five states, including Rajasthan, Gujarat, and Madhya Pradesh. As of March 2025, Laxmi India Finance operates 158 branches with an AUM of ₹1,277 crore. The company has demonstrated strong growth in FY25, reporting a net interest income of ₹116.7 crore and a net profit of ₹35.9 crore.
Laxmi India Finance raised over ₹75 crore from anchor investors prior to the IPO launch, allotting 47.79 lakh equity shares at ₹158 each to 11 institutional funds. Key participants in the anchor round included Saint Capital Fund, BNP Paribas Financial Markets – ODI, Compact Structure Fund, Cognizant Capital Dynamic Opportunities Fund, India Max Investment Fund, Holani Venture Capital Fund-I, and Rajasthan Global Securities.
The shares of Laxmi India Finance are proposed to be listed on both the BSE and NSE. The allotment for the IPO is expected to be finalized on August 1, 2025, with a tentative listing date set for August 5, 2025.
PL Capital Markets Private Limited is the book-running lead manager for the IPO, while MUFG Intime India Private Limited (Link Intime) is the registrar for the issue.
