Arohan Financial Services is in the final stages of filing its DRHP within a month for a proposed ₹1,400 crore IPO, signalling renewed momentum in its listing plans.
The IPO is expected to comprise ₹600 crore fresh issue and ₹800 crore Offer for Sale (OFS), balancing capital infusion with partial exits for existing investors.
Notably, promoters (Aavishkaar Group & Intellecap) holding ~14.2% stake will not dilute, while investors such as Michael & Susan Dell Foundation and Tano Capital are likely to participate in the OFS.
The company is proceeding with IPO plans amid improving microfinance sector conditions, including better asset quality and recovery in lending activity after a prolonged stress period.
Arohan reported AUM of ~₹6,300 crore, with GNPA improving to 1.6% from 2.9% YoY, indicating strengthening portfolio quality ahead of listing.
The IPO size has been scaled down from earlier plans (~₹1,500 crore) due to recent market volatility linked to geopolitical factors, reflecting a cautious capital market approach.