Bengaluru, July 30: Veritas Finance Limited, a diversified, retail-focused non-deposit taking NBFC registered with the Reserve Bank of India, under the scale-based regulations of the RBI, classified as an ‘NBFC-Middle Layer’ has filed its DRHP with SEBI for an IPO.
Established in 2015, Veritas Finance primarily provide small business loans to micro, small and medium enterprises and self- employed individuals, and over the years, has expanded its business to include home loans and used commercial vehicle loans. As of March 31, 2026, the company’s Loans (AUM) aggregated to ₹9,134.2 Crore, growing at a CAGR of 26.33% for the period between FY24 to FY26. The company posted a profit of ₹ 330.3 Crore for the year FY26 growing at a CAGR of 16.11% for the period between FY24 to FY26. Its disbursements grew to ₹ 4,579.5 Crore for the year FY26 at a CAGR of 11.22% for the period between FY24 to FY26.
The offer comprises of a fresh issue of equity shares aggregating up to ₹ 900 crore and an Offer for Sale (OFS) of up to 12,827,093 equity shares by the selling shareholders. The face value of each equity share is ₹10.
The company proposes to utilise the net proceeds to augment its capital base for meeting future business requirements and supporting onward lending.
The Company, in consultation with the BRLMs, may consider a Pre-IPO Placement of Specified Securities aggregating up to ₹ 180 Crore, as may be permitted under applicable law, at its discretion, prior to filing of the Red Herring Prospectus with the RoC. The Pre-IPO Placement, if undertaken, will be at a price to be decided by the company, in consultation with the BRLMs. If the Pre-IPO Placement is completed, the amount raised pursuant to the Pre-IPO Placement will be reduced from the Fresh Issue.
Veritas Finance focuses on addressing the financial needs of underserved and underbanked MSMEs and individuals by providing access to credit. To address the significant credit gap in these sectors, it offers a range of products, including small business loans, housing loans, used commercial vehicle loans, and working capital loans. The company has invested in building a wide distribution network across rural and semi-urban areas with a branch network (excluding service centres) of 444 branches across 10 states and 1 union territory in India, as of March 31, 2026. It has a well-established presence in Tamil Nadu, Andhra Pradesh, Telangana, Karnataka and West Bengal.
The equity shares offered through the Draft Red Herring Prospectus are proposed to be listed on BSE Limited (“BSE”) and the National Stock Exchange of India Limited (“NSE”) (collectively, the “Stock Exchanges”).
ICICI Securities Limited, IIFL Capital Services Limited, JM Financial Limited and SBI Capital Markets Limited are the Book Running Lead Managers to the issue.
