Aye Finance share price off to a lacklustre start, lists at par with IPO price of ₹129 apiece

Aye Finance IPO listing: Aye Finance's shares were off to a lacklustre start on Monday, February 16, as they listed at par with the initial public offering (IPO) of ₹129 apiece.

Aye Finance share price opened at ₹129 on BSE and NSE — neither a discount nor a premium.

The listing beat market expectations as suggested by the grey market premium (GMP). The (-) ₹2 Aye Finance IPO GMP earlier today signalled a listing at 1.55% discount.

Aye Finance IPO details

Aye Finance IPO was subscribed 1.04 times at the end of the three-day bidding process, as demand from non-institutional investors (NIIs) remained especially weak at just 5% subscription.

The qualified institutional buyer (QIB) portion was booked 1.62 times, and the retail quote 81%.

Aye Finance IPO, open for bidding from February 9 to February 11, was a book-built issue of ₹1,010 crore. The offer consisted of a combination of fresh share sale of ₹710 crore and an offer-for-sale (OFS) component of ₹300 crore by existing shareholders.

The company has fixed a price band of ₹122-129 per share, valuing the company at ₹3,184 crore at the upper end of the band.

It plans to utilise the proceeds from the fresh share sale to strengthen its capital base, supporting future capital requirements arising from the expansion of its business and asset base.

Investors could apply for the Aye Finance IPO in multiples of 116 shares, with a minimum investment required by retail investors of ₹14,964.

Aye Finance, incorporated in 1993, is a non-banking financial company (NBFC–Middle Layer) focused on providing credit solutions to micro and small enterprises (MSEs) across India. The company primarily caters to underserved and informal MSMEs by offering secured and unsecured business loans for working capital and business expansion.

Disclaimer: This story is for educational purposes only. We advise investors to consult with certified experts before making any investment decisions.