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Laxmi India Finance Ltd, a Jaipur-based NBFC, launched its INR 254.26 crore IPO earlier this week, receiving a lukewarm response on the first day with only 37% overall subscription. The offering, priced between INR 150 and INR 158 per share, includes both a fresh issue and an offer for sale by promoters. While retail investors showed better enthusiasm with 60% subscription, institutional and high net-worth categories remained cautious. The company raised over INR 75 crore from anchor investors a day before the issue opened.
Laxmi India Finance Ltd, a Jaipur-headquartered non-banking financial company, kicked off its initial public offering (IPO) earlier this week, managing to attract bids for only 42,06,782 equity shares out of the 1,13,12,816 shares on offer by the end of the first day translating to a 37% subscription rate. Advertisement
Retail individual investors (RIIs) showed relatively stronger interest, subscribing to 60% of their allocated quota. However, non-institutional investors subscribed to just 19%, while Qualified Institutional Buyers (QIBs) showed minimal traction, covering only 10% of their portion.
Despite the subdued day-one performance, the company had secured a decent INR 75 crore from anchor investors just a day before the IPO launch. These anchor investments are often seen as a strong vote of confidence, potentially setting the tone for wider market participation.
The public offering comprises a fresh issue of 1.04 crore equity shares along with an offer for sale of 56.38 lakh shares by the company?s promoters. At the upper price band of INR 158 per share, the IPO size totals approximately INR 254.26 crore. The issue is scheduled to close by the end of this week.
Funds raised through the fresh issue are earmarked to bolster the company?s capital base, which will be used to support future lending and general corporate needs. Laxmi India Finance operates as a non-deposit-taking NBFC with a wide credit portfolio that spans MSME loans, vehicle finance, and construction loans.
As of the end of March 2025, the company maintained a strong presence across 158 branches, strategically located in rural, semi-urban, and urban areas in Rajasthan, Gujarat, Madhya Pradesh, Chhattisgarh, and Uttar Pradesh reflecting its growing regional footprint in underserved and growth-ready markets.
PL Capital Markets is managing the issue as the sole book-running lead manager.
Source PTI
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