Laxmi India Finance IPO opens today: GMP up 6%; should you subscribe?

Laxmi India Finance IPO: Check price band, lot size, grey market premium (GMP), review, allotment date, listing date, and other key details here

Laxmi India Finance IPO opens for public subscription: The initial public offering (IPO) of non-banking financial company (NBFC) Laxmi India Finance is set to open for public subscription today, Tuesday, July 29, 2025.

 

At the upper end, the company aims to raise ₹254.26 crore through the offering, which comprises a fresh issue of 10.5 million equity shares and an offer for sale (OFS) by promoters divesting up to 5.6 million equity shares. Notably, Laxmi India Finance has already raised ₹75.51 crore from anchor investors in the bidding that concluded on July 28.

Here are the key details of the Laxmi India Finance IPO:

Laxmi India Finance IPO price band, lot size

Laxmi India Finance has set a price band of ₹150-158 per share for the public issue. The lot size is 94 shares, allowing investors to bid for a minimum of one lot (94 shares) at ₹14,852.

 

 

A retail investor can, however, bid for a maximum of 13 lots or 1,222 shares of Laxmi India Finance IPO with an investment of ₹1,93,076.

Laxmi India Finance IPO grey market premium (GMP) today

The unlisted shares of Laxmi India Finance were commanding a decent premium in the grey market ahead of the opening of their public issue. Sources tracking unofficial market activity revealed that Laxmi India Finance shares were trading at ₹167 apiece, reflecting a grey market premium (GMP) of ₹9 or 5.70 per cent over the upper price band of ₹158.

Laxmi India Finance IPO allotment date, listing date

Laxmi India Finance IPO will remain open for subscription until Thursday, July 31, 2025. Following that, the basis of allotment of Laxmi India Finance IPO shares is expected to be finalised on Friday, August 1, 2025, and shares will be credited to successful allottees’ demat accounts on Monday, August 4, 2025.

 

The tentative listing date for Laxmi India Finance shares on the BSE and NSE is Tuesday, August 5, 2025.

Laxmi India Finance IPO registrar, lead manager

MUFG Intime India (Link Intime) has been appointed as the registrar for the Laxmi India Finance IPO, while PL Capital Markets is the sole book-running lead manager for the issue.

Laxmi India Finance IPO objectives

The company will not receive any proceeds from the OFS, as those will go to the selling promoters. “Each Selling Shareholder will be entitled to its respective share of the proceeds of the Offer for Sale after deducting its respective proportion of the offer-related expenses and relevant taxes thereon,” Laxmi India Finance said in its Red Herring Prospectus (RHP).

 

However, Laxmi India Finance plans to use the proceeds from the fresh issue for the augmentation of the capital base to meet the future capital requirements towards onward lending.

Should you subscribe to the Laxmi India Finance IPO?

Canara Bank Securities: Subscribe for long-term

Analysts at Canara Bank Securities have recommended the investors to subscribe to the Laxmi India Finance IPO for long-term gains. The analysts highlighted that the company has had robust financial performance for the past three years, where revenue has grown at a CAGR of 38 per cent from ₹129 crore to ₹245 crore, whereas profit after tax (PAT) has grown at a CAGR of 50 per cent from ₹16 crore to ₹36 crore.

 

"The issue is overpriced at 2.57X P/B, whereas the listed peers on average are available at 2.02X P/B. The company is well positioned to take advantage of the MSME surge in India. As of now, LIF is present only in 5 states with major presence (80 per cent) in Rajasthan," wrote the analysts in the report. This, the analysts believe, leaves plenty of room for LIF to enter new states and become more dominant in the existing states. "We recommend Subscribe for the long-term gains." 

Bajaj Broking - Subscribe for long-term

Analysts at Bajaj Broking have recommended the investors subscribe to the public issue for the long-term investment perspective. "Laxmi India Finance (LIFC) is well-positioned to tap into India’s large underserved financial market, focusing on MSMEs and individuals in rural and semi-urban areas. The rise in rural incomes, digital infrastructure, and government schemes like PMMY and CGTMSE have enhanced credit demand in these segments," wrote the analysts in a research note.

 

The analysts, however, cautioned that the company requires significant capital for its operations, and any disruption in its funding sources or inability to secure capital on favorable terms may adversely impact its liquidity, business operations, cash flows, and overall financial condition. 

SMIFS - Subscribe

SMIFS has recommended investors to subscribe to the public issue, highlighting the company’s dominant market position, scalable business model, and long-term growth potential. The analysts noted, “Its strategic partnerships, diversified clientele, and focus on technology-led innovation further reinforce its leadership and future readiness in India’s maturing and increasingly regulated surveillance ecosystem.”

About Laxmi India Finance

Incorporated in 1996, Laxmi India Finance is a Non-banking financial company (NBFC) focused on lending to individuals and small businesses. As on March 31, 2025, its operational network spans across 158 branches in rural, semi-urban, and urban areas in the states of Rajasthan, Gujarat, Madhya Pradesh, Chhattisgarh, and Uttar Pradesh. LIFL has the widest reach in Rajasthan in terms of being the company with the highest number of branches amongst its peers for the period ending FY25 (Source: CARE Report).