New Delhi, Ananya Birla-led Svatantra Microfin Ltd has filed preliminary papers with markets regulator Sebi to raise Rs 3,000 crore through an Initial Public Offering (IPO), primarily to strengthen its capital base.
The IPO comprises a fresh issue of shares worth Rs 1,500 crore and an Offer For Sale (OFS) of an equal amount, according to the draft red herring prospectus (DRHP) filed on Thursday.
Existing investors Multiples Private Equity Funds and Violicina Limited will sell shares through the OFS route.
Proceeds from the fresh issue will be used to augment the company’s Tier-I capital base to meet future capital requirements, including funding growth and onward lending.
Ananya Birla is the chairperson and non-executive director of Svatantra Microfin, an inclusion-focused non-banking financial company (NBFC-MFI).
The company was the first institution to receive the NBFC-MFI licence introduced by the Reserve Bank of India in 2011.
Over the years, Svatantra Microfin has expanded its scale significantly.
Its microfinance Assets Under Management (AUM) grew at a compound annual growth rate of 21 per cent from Rs 14,438 crore as of March 31, 2024, to Rs 21,093 crore as of March 31, 2026. During the same period, its share of India’s total microfinance AUM nearly doubled to 6.37 per cent from 3.26 per cent.
The company is also the largest NBFC-MFI in Bihar and Uttar Pradesh by AUM-MFI as of March 31, 2026. Despite its scale, it has maintained a diversified loan portfolio, with no single district accounting for more than 2.74 per cent of its AUM-MFI and no single state contributing more than 23.02 per cent.
Its asset quality has also improved, with the gross Stage-3 ratio, a measure of stressed loans, declining to 1.19 per cent in fiscal 2026 from 2.24 per cent in fiscal 2025.
Svatantra Microfin further strengthened its pan-India presence following the amalgamation of Chaitanya India Fin Credit Pvt Ltd, which became effective on March 21, 2026. The merger expanded its footprint in southern India.
As of March 31, 2026, the company had 2,123 branches across 20 states and 394 districts, supported by 24,594 employees, including 15,575 field officers. Its microfinance business served 42.66 lakh active borrowers.
Axis Capital, Avendus Capital, IIFL Capital Services, Kotak Mahindra Capital Company and SBI Capital Markets are the book-running lead managers to the issue. PTI
