Aye Finance IPO 2026: Company Overview, Issue Details & Risks
Aye Finance Ltd is entering the public markets with a ₹1,010 crore IPO. Here’s a clear breakdown of the company’s background, MSME-focused lending model, issue structure, and key highlights investors should understand before evaluating the offer.
Aye Finance Ltd
Aye Finance Ltd is a 33-year-old NBFC (non-banking finance company), which offers secured and unsecured loans to small businesses for working capital, mortgage loans, property loans, and unsecured loans to MSMEs. The company has close to 5,87,000 active customers across its customer base covering manufacturing, trading, services and agriculture. The company has built in-depth specialization in small ticket loans and catering to the MSME customers. This has helped them in reducing the risk of underwriting small-ticket loans. The NBFC has also leveraged technology and built a robust collection methodology.
Aye Finance Ltd does not have any identifiable promoter group, although it has several investors. The fresh funds raised in the IPO will be used for boosting its capital adequacy, which is a pre-requisite for an NBFC to expand its loan book. The Offer for Sale (OFS) is by early investor shareholders including Alpha Wave India, MAJ Invest Financial Inclusion, CapitalG LP, LGT Capital, and Vikram Jetley. The issue is being lead-managed by Axis Capital, IIFL Capital, JM Financial and Nuvama; while KFIN Technologies Ltd (KFINTECH) will be the registrars to the IPO.
Highlights of the IPO Issue
Here are the key highlights of the public issue of Aye Finance Ltd.
- The IPO of will be open from February 09th, 2026 to February 11th, 2026. It has a face value of ₹2 per share and IPO price band is set in range of ₹122 to ₹129 per share.
- The IPO of Aye Finance Ltd will be a combination of a fresh issue of shares and an offer for sale (OFS) by early investors.
- The Fresh issue portion comprises the issue of 5,50,38,759 shares (550.39 lakh shares), which at the upper price band of ₹129 per share translates into ₹710 crore.
- The offer for sale (OFS) portion comprises the sale of 2,32,55,813 shares (232.56 lakh shares), which at the upper price band of ₹129 per share translates into ₹300 crore.
- The overall IPO, therefore, will comprise of the fresh issue portion and the offer for sale of 7,82,94,572 shares (782.95 lakh shares), which at the upper price band of ₹129 per share translates into ₹1,010 crore.
The IPO of Aye Finance Ltd will be listed on the NSE and the BSE on the IPO mainboard. Anchor allocation happened one trading day ahead of the IPO on February 06, 2026.
Key Dates, Investor Allocation, And Lot Sizes
Here are the key dates pertaining to the IPO of Aye Finance Ltd
Event Tentative Date
IPO Open Date Monday, 9 February, 2026
IPO Close Date Wednesday, 11 February, 2026
Basis of Allotment Thursday, 12 February, 2026
Initiation of Refunds to non-allottees Friday, 13 February, 2026
Credit of Shares to Demat Friday, 13 February, 2026
Listing Date on NSE and BSE Monday, 16 February, 2026
Data Source: Company RHP
Investors can apply either through their existing trading account or the ASBA application can be directly logged through the internet banking account. This can only be done through the authorized list of self-certified syndicate banks (SCSB).
The table below captures the gist of the allocation to various categories.
| Category of Investors | Allocation of shares | % Share |
|---|---|---|
| Reservation for Employees | Nil Reservation | Not Applicable |
| Anchor Allocation | 3,52,32,558 shares | 43.62% of total IPO size |
| QIB Shares Offered | 2,48,36,065 shares | 30.75% of total IPO size |
| NII (HNI) Shares Offered | 1,24,18,032 shares | 15.38% of total IPO size |
| Retail Shares Offered | 82,78,688 shares | 10.25% of total IPO size |
| Total Shares Offered | 8,07,65,343 shares | 100.00% of Total IPO size |
Data Source: Security Parameters Filing (NSE)
The anchor portion, is carved out of the QIB portion and the QIB portion available in the IPO offer has been reduced proportionately. Please note that the above shares are final and may differ marginally from the original announcement. Here is a quick look at the lot sizes applicable for the IPO of Aye Finance Ltd for various categories of investors.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 116 | ₹ 14,964 |
| Retail (Max) | 13 | 1,508 | ₹ 1,94,532 |
| S-HNI (Min) | 14 | 1,624 | ₹ 2,09,496 |
| S-HNI (Max) | 66 | 7,656 | ₹ 9,87,624 |
| B-HNI (Min) | 67 | 7,772 | ₹ 10,02,588 |
It may be noted here that for the B-HNI category and for the QIB (qualified institutional buyer) category, there are no upper limits applicable. (1 Lot = 116 shares)
Financial Highlights
The table captures the key financials of Aye Finance Ltd for last 3 financial years.
| Particulars | FY25 | FY24 | FY23 |
|---|---|---|---|
| Net Revenues (₹ in crore) | 1,459.73 | 1,040.22 | 623.43 |
| Sales Growth (%) | 40.33% | 66.86% | |
| Profit after Tax (₹ in crore) | 175.25 | 171.68 | 39.87 |
| PAT Margins (%) | 12.01% | 16.50% | 6.40% |
| Total Equity (₹ in crore) | 1,658.87 | 1,232.65 | 754.49 |
| Total Assets (₹ in crore) | 6,338.63 | 4,869.59 | 3,126.00 |
| Return on Equity (%) | 10.56% | 13.93% | 5.28% |
| Return on Assets (%) | 2.76% | 3.53% | 1.28% |
| Asset Turnover Ratio (X) | 0.23 | 0.21 | 0.20 |
| Earnings per share (₹) | 9.34 | 10.50 | 2.54 |
| Net Interest Income (₹ Crore) | 857.96 | 622.16 | 368.53 |
| Net Interest Margin (%) | 15.31% | 15.56% | 13.54% |
Data Source: Company RHP filed with SEBI (FY refers to Apr-Mar period)
A quick look at the financials tells us that the company has reported robust growth in top line over the last 3 years, even as the PAT margins have stayed consistently above 12% over last 2 years. What is material is the net interest margins (NIM), which is the core ratio for NBFCs, and that is at a fairly comfortable level of 15.31%.
Valuation Metrics
At the IPO price of ₹129 per share, the indicative P/E of Aye Finance Ltd works out to around 13.8X at the latest year EPS of ₹9.34 per share. What would be of interest to the investors is that the company has maintained its net interest margins (NIM), the spread between lending and borrowing at above 13% consistently for the last 3 years.
One must also appreciate that the company brings some advantages like deep understanding of localized customers, robust systems for credit assessment and recovery, as well as the ability to sustain the business at a profitable level. Investors can seriously look at this IPO from a long-term standpoint as the valuations are also rather compelling; especially considering the top line growth and the robust NIMs.
A Brief on the Anchor Allocation
The anchor issue of Aye Finance Ltd saw a robust response on 06th February 2026 with 43.62% of the IPO size absorbed by anchors. Out of 8,07,65,343 shares (807.65 lakh shares) on offer in the IPO, anchors picked up 3,52,32,558 shares (352.33 lakh shares) accounting for 43.62% of the total IPO size. The entire anchor allocation was made at the upper end of the price band of ₹129 per share. This includes the face value of ₹2 per share plus a share premium of ₹127 per share. The anchor bidding process opened and closed on 06th February 2026.
Key Points to Note in the Anchor Allocation Process
Here are the key details pertaining to the anchor bidding of Aye Finance Ltd
| Bid Date | February 06, 2026 |
|---|---|
| Shares Offered | 3,52,32,558 shares |
| Anchor Portion Size (₹ in crore) | ₹454.50 crore |
| Anchor lock-in period end date for 50% shares (30 Days) | March 12, 2026 |
| Anchor lock-in period end date for remaining shares (90 Days) | May 13, 2026 |
An anchor investor in an IPO is a qualified institutional buyer (QIB) like a foreign portfolio investor or mutual fund or insurance company or a sovereign fund which invests before the IPO is made available to the public as per SEBI regulations. It helps in price discovery.
Anchor Allocation Investors
On 06th January 2026, Aye Finance Ltd allotted 3,52,32,558 shares to 19 anchor investors. The allocation was done at the upper IPO price band of ₹129 per share which resulted in overall anchor allocation of ₹454.50 crore. The anchors have already absorbed 43.62% of the total issue size of ₹1,041.87 crore. Listed below are the Top 10 IPO anchor investors who accounted for anchor collection of ₹367.13 crores, or, 80.78% of the overall anchor allocation of shares, one day ahead of the IPO of Aye Finance Ltd. The anchor bidding opened and closed on February 06, 2026.
| AnchorInvestors | No. ofShares | % of AnchorPortion | ValueAllocated | |
|---|---|---|---|---|
| 01 | Nippon India Banking and FS Fund | 57,36,548 | 16.28% | ₹ 74.00 |
| 02 | Goldman Sachs India Equity Portfolio | 53,48,876 | 15.18% | ₹ 69.00 |
| 03 | Ashoka India Equity Investment Trust | 31,00,796 | 8.80% | ₹ 40.00 |
| 04 | Abakkus Four2Eight Opportunities | 27,13,240 | 7.70% | ₹ 35.00 |
| 05 | Bay Pond Partners LP | 23,41,576 | 6.65% | ₹ 30.21 |
| 06 | Bay Pond Investors Bermuda LP | 22,41,468 | 6.36% | ₹ 28.91 |
| 07 | HDFC Life Insurance Company | 19,38,012 | 5.50% | ₹ 25.00 |
| 08 | Integrated Core Strategies Asia | 19,38,012 | 5.50% | ₹ 25.00 |
| 09 | Societe Generale – ODI | 19,38,012 | 5.50% | ₹ 25.00 |
| 10 | Bank of India Small Cap Fund | 11,62,784 | 3.30% | ₹ 15.00 |
| Grand Total | 2,84,59,324 | 80.78% | ₹ 367.13 |
Data Source: BSE Filings (Value Allocated is ₹ in Crore)
The detailed and comprehensive report on the anchor allocation with the mutual fund portion separated can be accessed on BSE by clicking on the link below.
Out of the 3,52,32,558 shares allocated to the anchors in the IPO, there were a total of 76,74,560 shares allocated to mutual funds registered with SEBI. The allocation was made to 4 mutual fund schemes across 2 AMCs. Mutual funds accounted for 21.78% of the total anchor allocation of the IPO.
In addition, out of the 3,52,32,558 shares allocated to the anchors in the IPO, there were a total of 19,38,012 shares allocated to life insurance companies regulated by IRDA. The allocation was made to 1 life insurance company in total. Insurance companies accounted for 5.50% of the total anchor allocation of the IPO.
FPIs, P-Notes, and AIFs also actively participated in the anchor allocation of Aye Finance Ltd.
Next Step in the IPO
Post the closure of the IPO subscription on 11th February 2026, the basis of allotment will be finalized on 12th February 2026 and the refunds will be initiated on 13th February 2026. In addition, the demat credits are expected to also happen on 13th February 2026 and the stock will list on 16th February 2026 on the NSE and the BSE. The credits to the demat account to the extent of shares allotted will happen by the close of 13th February 2026 under ISIN (INE501X01029).
IPO Subscription Status On Day-1
As of 5.30 pm on 09th February 2026, out of the 455.33 lakh shares on offer in the IPO (excluding anchor portion), Aye Finance Ltd saw bids for 54.47 lakh shares. This implies an overall subscription of 0.12X or 12% at a macro level. The granular break-up of subscriptions at close of Day-1 of the IPO of Aye Finance Ltd was as under:
| EmployeesN.A. | QIBs(0.13X) | HNI / NII(0.01X) | Retail(0.26X) |
|---|
The subscriptions were led by the Retail Investors followed by the QIB investors and the HNI / NII investors in that order. QIB bids and NII bids typically gather most of the momentum on the last day, and that would be the case in this issue also. Both the QIB and the NII bids pick up momentum on the last day since that is when the bulk HNI funding bids, corporate bids, and the bulk QIB bids come in. The company saw robust anchor participation a day ahead of the IPO opening with 43.62% of the IPO size absorbed by anchor investors. Here is the category-wise subscription. The overall subscription ratio excludes anchor portion.
| Investor Category | Subscription (times) | Shares Offered | Shares bid for | Total Amount(₹ in Crore) |
|---|---|---|---|---|
| Anchor Investors | 1.00 | 3,52,32,558 | 3,52,32,558 | 436.88 |
| Employee Quota | N.A. | 0 | 0 | 0.00 |
| QIB Investors | 0.13 | 2,48,36,065 | 31,88,376 | 41.13 |
| HNIs / NIIs | 0.01 | 1,24,18,032 | 1,06,836 | 1.38 |
| Retail Investors | 0.26 | 82,78,688 | 21,51,336 | 27.75 |
| Total | 0.12 | 4,55,32,785 | 54,46,548 | 70.26 |
Data Source: NSE / BSE (as of close of Day-1 of the IPO)
The IPO is open up to February 09, 2026, at which point we will know the final subscription status of the IPO. The total investor investment interest in the IPO as of the close of Day-1 of the IPO stood at ₹507 Crore (including the anchor allocation portion too).
IPO Subscription Status On Day-2
As of 5.45 pm on 10th February 2026, out of the 455.33 lakh shares on offer in the IPO (excluding anchor portion), Aye Finance Ltd saw bids for 72.88 lakh shares. This implies an overall subscription of 0.16X or 16% at a macro level. The granular break-up of subscriptions at close of Day-2 of the IPO of Aye Finance Ltd was as under:
| EmployeesN.A. | QIBs(0.13X) | HNI / NII(0.02X) | Retail(0.47X) |
|---|
The subscriptions were led by the Retail Investors followed by the QIB investors and the HNI / NII investors in that order. QIB bids and NII bids typically gather most of the momentum on the last day, and that would be the case in this issue also. Both the QIB and the NII bids pick up momentum on the last day since that is when the bulk HNI funding bids, corporate bids, and the bulk QIB bids come in. The company saw robust anchor participation a day ahead of the IPO opening with 43.62% of the IPO size absorbed by anchor investors. Here is the category-wise subscription. The overall subscription ratio excludes anchor portion.
| InvestorCategory | Subscription(times) | SharesOffered | Sharesbid for | Total Amount(₹ in Crore) |
|---|---|---|---|---|
| Anchor Investors | 1.00 | 3,52,32,558 | 3,52,32,558 | 436.88 |
| Employee Quota | N.A. | 0 | 0 | 0.00 |
| QIB Investors | 0.13 | 2,48,36,065 | 31,88,376 | 41.13 |
| HNIs / NIIs | 0.02 | 1,24,18,032 | 1,98,592 | 2.56 |
| Retail Investors | 0.47 | 82,78,688 | 39,00,732 | 50.32 |
| Total | 0.16 | 4,55,32,785 | 72,87,700 | 94.01 |
Data Source: NSE / BSE (as of close of Day-2 of the IPO)
The IPO is open up to February 11, 2026, at which point we will know the final subscription status of the IPO. The total investor investment interest in the IPO as of the close of Day-2 of the IPO stood at ₹549 Crore (including the anchor allocation portion too).
IPO Subscription Status On Day-3
As of 7.40 pm on 11th February 2026, out of the 455.33 lakh shares on offer in the IPO (excluding anchor portion), Aye Finance Ltd saw bids for 442.21 lakh shares. This implies an overall subscription of 0.97X or 97% at a macro level. The granular break-up of subscriptions at close of Day-3 of the IPO of Aye Finance Ltd was as under:
| EmployeesN.A. | QIBs(1.50X) | HNI / NII(0.05X) | Retail(0.77X) |
|---|
The subscriptions were led by the QIB Investors followed by the Retail investors and the HNI / NII investors in that order. QIB bids and NII bids typically gather most of the momentum on the last day, but that was not visible in this issue. Both the QIB and the NII bids pick up momentum generally on the last day since that is when the bulk HNI funding bids, corporate bids, and the bulk QIB bids come in. The company saw robust anchor participation a day ahead of the IPO opening with 43.62% of the IPO size absorbed by anchor investors. Here is the category-wise subscription. The overall subscription ratio excludes anchor portion.
| Investor Category | Subscription (times) | Shares Offered | Shares bid for | Total Amount(₹ in Crore) |
|---|---|---|---|---|
| Anchor Investors | 1.00 | 3,52,32,558 | 3,52,32,558 | 436.88 |
| Employee Quota | N.A. | 0 | 0 | 0.00 |
| QIB Investors | 1.50 | 2,48,36,065 | 3,72,41,220 | 480.41 |
| HNIs / NIIs | 0.05 | 1,24,18,032 | 6,23,616 | 8.04 |
| Retail Investors | 0.77 | 82,78,688 | 63,56,452 | 82.00 |
| Total | 0.97 | 4,55,32,785 | 4,42,21,288 | 570.45 |
Data Source: NSE / BSE (as of close of Day-3 of the IPO)
The IPO of Aye Finance Ltd was open up to February 11, 2026, and has closed for subscription as of the close of trading hours on February 11, 2026. The subscription ratios presented in the table above represent the final subscription numbers for each category and also for the IPO overall. Generally, the listing price of the IPO and the post-listing performance tend to get influenced by the extent of oversubscription of the IPO. However, it must also be noted that a higher subscription is not an automatic guarantee of a strong listing performance for the IPO stock. The final subscription ratio excludes anchor portion. Total bids as of the close (including anchor allocation) stood at ₹1,025 crore.
About the Aye Finance Ltd IPO
The IPO of Aye Finance Ltd opened on February 09th, 2026 and closed on February 11th, 2026. The IPO comprised of a fresh issue and an offer for sale (OFS) by issuer of 8,07,65,343 shares (807.65 lakh shares) worth ₹1,041.87 crore at the upper band price of ₹129 per share. The allotment status will be finalized by EOD of February 12, 2026. Here is how to check allotment status for the IPO of Aye Finance Ltd. You can check IPO status on BSE or NSE or IPO Registrar website of KFIN Technologies Ltd (KFINTECH).
Checking The Allotment Status of IPO on BSE Website
This is a common link for all mainboard IPOs. Click on BSE link for IPO allotment as below.
https://www.bseindia.com/investors/appli_check.aspx
Once you reach the page, here are the steps to follow.
You can use either of the parameters to query; Application / CAF number or Investor PAN.
The allotment status will be displayed on the screen in front of you informing about the number of shares of Aye Finance Ltd allotted into your demat account. You can save a screenshot of the allotment status output for tallying with the demat account credits.
Checking The Allotment Status of IPO on NSE Website
This is a common link for all IPOs. Click on NSE link for IPO allotment as below.
https://www.nseindia.com/invest/check-trades-bids-verify-ipo-bids
Once you reach the page, here are the steps to follow.
You must input the Application / CAF number and the Investor PAN.
The allotment status will be displayed on the screen in front of you informing about the number of shares of Aye Finance Ltd allotted into your demat account. You can save a screenshot of the allotment status output for tallying with the demat account credits.
Checking Allotment Status of IPO on KFIN Technologies Ltd
Visit the website of KFIN Technologies Ltd, which has been appointed as the registrar for the issue. You can access their website for IPO status by clicking on the link below:
https://kosmic.kfintech.com/ipostatus/
KFIN Technologies Ltd provides details of IPOs managed by them and where allotment status is finalized. Radio buttons allow you to opt to see all IPOs or just recent IPOs. The latter option reduces the list of IPOs to search. Once you click on Recent IPOs, dropdown shows recent active IPOs, where allotment status is finalized. Select Aye Finance Ltd.
THERE ARE 3 WAYS TO QUERY ALLOTMENT STATUS ON KFIN TECHNOLOGIES LTD
To Query by Application Number, check the appropriate box and follow these steps.
Unlike in the past, now you do not have to select ASBA versus Non-ASBA option.
To Query by Demat Account, check the appropriate box and follow these steps.
To Query by PAN, check the appropriate box and follow these steps.
- Enter the 10-Character PAN number, available on your PAN card
- After you enter the PAN number, Enter the 6-digit numeric Captcha Code
- Click on Submit button
- Allotment status gets displayed on screen
If captcha code is not clear; toggle for more options. Retain a screenshot of the allotment status output for future reference. This can be tallied with demat credit post allotment.
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