Veritas Finance Refiles IPO Papers, Eyes Rs 900 Cr Fresh Issue
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Veritas Finance refiles IPO papers with Sebi for a Rs 900 crore fresh issue. The NBFC focuses on MSME loans and aims to augment its capital base.
Illustration: Dominic Xavier/Rediff.com
New Delhi, Jul 30 (PTI) Veritas Finance Ltd, a non-deposit taking NBFC, has refiled preliminary papers with capital markets regulator Sebi for its initial public offering (IPO), comprising a fresh issue of equity shares worth Rs 900 crore.
The proposed IPO also includes an Offer for Sale (OFS) of up to 1.28 crore equity shares by existing shareholders, according to the draft red herring prospectus (DRHP) filed with the Securities and Exchange Board of India (Sebi) on Wednesday.
The latest filing comes just before the expiry of the regulatory approval granted for the company's earlier IPO proposal.
In January 2025, the retail-focused non-deposit taking NBFC had filed draft papers with Sebi to raise Rs 2,800 crore through an IPO comprising a fresh issue of Rs 600 crore and an OFS of shares worth Rs 2,200 crore.
Sebi had issued its observation letter, enabling the company to launch the public issue, in April 2025.
Going by the fresh draft papers, the company may also undertake a pre-IPO placement of specified securities aggregating up to Rs 180 crore. If completed, the size of the fresh issue will be reduced to the extent of funds raised through the pre-IPO placement.
The net proceeds from the fresh issue will be used to augment the company's capital base to meet future business requirements, including onward lending.
Founded in 2015, Veritas Finance provides business loans to micro, small and medium enterprises (MSMEs) and self-employed individuals. It has also expanded into home loans, used commercial vehicle loans and working capital loans.
As of March 31, 2026, the company's assets under management (AUM) stood at Rs 9,134 crore, reflecting a CAGR of 26.33 per cent between FY24 and FY26. For FY26, the company reported a profit of Rs 330.3 crore and disbursements of Rs 4,579.5 crore.
Veritas Finance, classified as an NBFC-Middle Layer, operated 444 branches, excluding service centres, across 10 states and one Union Territory, with a strong presence in Tamil Nadu, Andhra Pradesh, Telangana, Karnataka and West Bengal as of March 2026.
ICICI Securities, IIFL Capital Services, JM Financial and SBI Capital Markets are the book-running lead managers to the issue.
The proposed IPO also includes an Offer for Sale (OFS) of up to 1.28 crore equity shares by existing shareholders, according to the draft red herring prospectus (DRHP) filed with the Securities and Exchange Board of India (Sebi) on Wednesday.
The latest filing comes just before the expiry of the regulatory approval granted for the company's earlier IPO proposal.
In January 2025, the retail-focused non-deposit taking NBFC had filed draft papers with Sebi to raise Rs 2,800 crore through an IPO comprising a fresh issue of Rs 600 crore and an OFS of shares worth Rs 2,200 crore.
Sebi had issued its observation letter, enabling the company to launch the public issue, in April 2025.
Going by the fresh draft papers, the company may also undertake a pre-IPO placement of specified securities aggregating up to Rs 180 crore. If completed, the size of the fresh issue will be reduced to the extent of funds raised through the pre-IPO placement.
The net proceeds from the fresh issue will be used to augment the company's capital base to meet future business requirements, including onward lending.
Founded in 2015, Veritas Finance provides business loans to micro, small and medium enterprises (MSMEs) and self-employed individuals. It has also expanded into home loans, used commercial vehicle loans and working capital loans.
As of March 31, 2026, the company's assets under management (AUM) stood at Rs 9,134 crore, reflecting a CAGR of 26.33 per cent between FY24 and FY26. For FY26, the company reported a profit of Rs 330.3 crore and disbursements of Rs 4,579.5 crore.
Veritas Finance, classified as an NBFC-Middle Layer, operated 444 branches, excluding service centres, across 10 states and one Union Territory, with a strong presence in Tamil Nadu, Andhra Pradesh, Telangana, Karnataka and West Bengal as of March 2026.
ICICI Securities, IIFL Capital Services, JM Financial and SBI Capital Markets are the book-running lead managers to the issue.
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