Arohan Financial Services Ltd – To File DRHP for IPO by March-End

Expert Analysis:

• Arohan Financial Services Ltd is preparing to file its Draft Red Herring Prospectus (DRHP) with SEBI by March-end, marking a key step toward its planned IPO.

• The IPO proceeds are expected to be used to strengthen the company’s capital base and support future expansion, with management indicating listing could be targeted in the next financial year post regulatory approvals.

• The company expects its Assets Under Management (AUM) to exceed ₹7,000 crore by FY26-end, with a target of ~₹9,000 crore in FY27, driven by improved productivity across its branch network.

• Arohan operates across 17 states with ~1,000 branches, focusing on deepening penetration in existing markets, while also evaluating diversification into secured lending segments such as gold loans, LAP, and vehicle financing.