Aye Finance IPO off to slow start, subscribed 13% on opening day, retail portion booked 28%

Aye Finance IPO in focus: Investors showed muted interest in the initial public offering (IPO) of Aye Finance, which opened for bidding on February 9. By the end of Day 1, the issue received bids for 54.75 lakh shares against a total offer size of 4.25 crore shares, translating into an overall subscription of 0.13 times.

Among investor categories, the retail portion was subscribed 0.28 times, while the Qualified Institutional Buyers (QIB) quota was booked 0.14 times. The non-institutional investor (NII) segment saw the weakest response, with subscriptions of just 0.01 times.

Aye Finance aims to raise ₹1,010 crore during the bidding period from February 9 to February 11. The IPO comprises a fresh issue of 5.50 crore shares aggregating to ₹710 crore and an offer for sale of 2.33 crore shares worth ₹300 crore.

The price band has been fixed at ₹122– ₹129 per share. The company plans to utilise the net proceeds from the fresh issue to strengthen its capital base and support future capital requirements arising from the expansion of its business and asset base.

Retail investors can apply for the issue in a lot size of 116 shares and multiples thereof, implying a minimum investment of ₹14,964 at the upper end of the price band.

Under the allocation structure, Qualified Institutional Buyers will be allotted 75% of the issue, while non-institutional investors and retail investors will receive 15% and 10%, respectively.

The IPO is being managed by Axis Capital, IIFL Capital, JM Financial, and Nuvama Wealth as book-running lead managers, with KFin Technologies acting as the registrar to the issue.

As of today, the grey market premium (GMP) for the Aye Finance IPO stands at nil, suggesting that the stock is likely to list the same as the IPO price.

About Aye Finance

The company provides small-ticket business loans for working capital and expansion, secured through hypothecation of business assets or property, across manufacturing, trading, services, and allied agriculture sectors.

Classified as a middle-layer NBFC, the company focuses on lending to micro and small enterprises (MSEs), a segment that remains largely underserved by traditional banks.

As of September 30, 2025, Aye Finance operated across 18 states and three union territories, serving around 5.9 lakh active customers, with assets under management (AUM) of ₹6,027.6 crore, as per the DRHP report.

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