Dar Credit and Capital Limited is launching its IPO through the book-building route, aiming to raise ₹25.66 crore. The IPO consists entirely of a fresh issue of 42.76 lakh equity shares. This public offering will open for subscription on May 21, 2025, and close today on May 23, 2025. The allotment is expected to be finalised on May 26, 2025, with the shares likely to be listed on the NSE SME platform on May 28, 2025.
The price band for the IPO is set between ₹57 and ₹60 per share. Retail investors need to apply for a minimum of 2,000 shares, requiring an investment of ₹1,14,000. However, to increase the chances of allotment in case of oversubscription, bidding at the cutoff price of ₹60 is advised, raising the amount to ₹1,20,000. For HNIs, the minimum application is for 2 lots, or 4,000 shares, amounting to ₹2,40,000.
GYR Capital Advisors Private Limited is managing the issue as the book-running lead manager, and Kfin Technologies Limited is handling the registrar responsibilities.
Industry Outlook
- India’s financial services sector is expanding rapidly, with commercial banks holding over 64% of total financial assets. This strong foundation and continued liberalisation are creating more opportunities for NBFCs like Dar Credit and Capital Limited to grow their lending operations.
- The mutual fund industry’s AUM reached ₹53.40 lakh crore as of March 2024, supported by ₹2 lakh crore SIP inflows in FY24. This growing investor base reflects rising financial awareness, which benefits credit and capital companies in tapping new customers and diversifying their services.
- The government’s support to MSMEs through schemes like MUDRA and Credit Guarantee Funds is expected to increase the demand for non-banking credit. Dar Credit and Capital Limited can use this opportunity to expand its MSME lending portfolio and strengthen its market presence.
Dar Credit and Capital IPO Objectives
The company plans to allocate the net proceeds from the issuance to the following purposes:
- The funds will be used to strengthen its capital base to support future growth in lending and financial services.
- Part of the proceeds will be used to cover expenses related to the IPO process.
- The remaining funds will be used for general corporate purposes.
About Dar Credit and Capital Limited
Dar Credit and Capital Limited is a public limited company incorporated on August 10, 1994, under the Companies Act, 1956. It has been registered with the Reserve Bank of India as a Non-Banking Finance Company (NBFC) since June 2007 and has a CARE BBB- Stable rating as of December 2023. The company's debentures have been listed on BSE Limited since February 2021.
The company offers personal loans, unsecured MSME loans, and secured MSME loans. It focuses on providing financial support to low-income individuals, particularly those in Group D roles like sweepers and peons in municipalities. It also caters to small shopkeepers, vendors, and women entrepreneurs, especially in underserved regions.
With over 30 years of experience, the company has built strong market insights and continues to enhance customer experience through digital loan sourcing and disbursement. It uses Vijay software by Qbent Technologies for efficient loan management and field tracking.
Headquartered in Kolkata with offices in Jaipur and several states including West Bengal, Rajasthan, Bihar, Jharkhand, Madhya Pradesh, and Gujarat, the company has an AUM of ₹19,091.81 lakh and a net worth of ₹6,635.25 lakh as of June 30, 2024. The CRAR stands at 30.91% with a Debt-to-Equity ratio of 2.40.
The company is led by Mr. Ramesh Kumar Vijay, a seasoned professional with nearly four decades of experience in the finance sector.
How To Check the Allotment Status of Dar Credit and Capital IPO?
Steps to check IPO allotment status on Angel One’s app:
- Log in to the Angel One app.
- Go to the IPO Section and then to IPO Orders.
- Select the individual IPO that you had applied for and check the allotment status.
- Angel One will notify you of your IPO allotment status via push notification and email.
How To Apply for the Dar Credit and Capital IPO Online?
- Login to Your Angel One Account: Open the Angel One app or website and log in with your credentials.
- Locate the IPO Section: Navigate to the 'IPO' section on the platform.
- Select IPO: Find and select the Dar Credit and Capital IPO from the list of open IPOs.
- Enter the Lot Size: Specify the number of lots you want to bid for.
- Submit Your UPI ID: Enter your UPI ID to link your payment method and submit your application.
- Approve Funds: Once you receive the bid request on your UPI app, approve it by entering your UPI PIN.
Contact Details of Dar Credit and Capital IPO
Registered office: Business Tower, 206 AJC Bose Road, 6th Floor, Unit No. 6B, Kolkata, West Bengal, India, 700017
Phone: +91 9883847875
E-mail: co.secretary@darcredit.com
Dar Credit and Capital IPO Reservation
|
Investor Category |
Shares Offered |
|
Anchor Investor Shares Offered |
12,16,000 (28.44%) |
|
Market Maker Shares Offered |
2,16,000 (5.05%) |
|
QIB Shares Offered |
8,12,000 (18.99%) |
|
NII (HNI) Shares Offered |
6,10,000 (14.27%) |
|
Retail Shares Offered |
14,22,000 (33.26%) |
|
Total Shares Offered |
42,76,000 (100%) |
Dar Credit and Capital IPO Anchor Investors Details
|
Bid Date |
May 20, 2025 |
|
Shares Offered |
12,16,000 |
|
Anchor Portion Size (In Cr.) |
7.30 |
|
Anchor lock-in period end date for 50% shares (30 Days) |
June 25, 2025 |
|
Anchor lock-in period end date for remaining shares (90 Days) |
August 24, 2025 |
Dar Credit and Capital IPO Lot Size
|
Application |
Lots |
Shares |
Amount |
|
Retail (Min) |
1 |
2,000 |
₹1,14,000 |
|
Retail (Max) |
1 |
2,000 |
₹1,20,000 |
|
HNI (Min) |
2 |
4,000 |
₹2,40,000 |
Dar Credit and Capital IPO Promoter Holding
Mr. Ramesh Kumar Vijay, Mr. Rajkumar Vijay and Mrs. Rakshita Vijay are the promoters of the company
|
Share Holding Pre-Issue |
98.48% |
|
Share Holding Post Issue  |
- |
Note: Equity dilution will be determined by subtracting the Share Holding Post Issue from the Share Holding Pre Issue.
Key Performance Indicators for Dar Credit and Capital IPO
|
KPI |
Value |
|
RoE (%) |
5.78 |
|
RoCE (%) |
9.10 |
|
Price to Book Value |
0.92 |
|
PAT Margin |
11.49 |
|
Debt/Equity |
2.53 |
Price Metrics
|
Particulars |
Pre IPO |
Post IPO |
|
EPS (₹) |
3.97  |
4.59 |
|
P/E (x) |
15.12  |
13.06 |
Note: The Pre-IPO EPS is based on the pre-issue shareholding as per the RHP and the latest FY earnings as of March 31, 2024. The Post-Issue EPS is calculated using the post-issue shareholding and annualised FY earnings as of December 31, 2024, as stated in the RHP.
Dar Credit and Capital IPO Prospectus
Dar Credit and Capital IPO Registrar and Lead Managers
Dar Credit and Capital IPO Lead Managers
- GYR Capital Advisors Private Limited
Registrar for Dar Credit and Capital IPO
Kfin Technologies Limited
- Contact Number:04067162222, 04079611000
- Email Address: ipo@kfintech.com
Dar Credit and Capital IPO Registrar
Financial Performance of Dar Credit and Capital Limited
| Particulars | Year ending on March 31, 2024 | Year ending on March 31, 2023 |
|---|---|---|
| Revenue from Operation (in ₹ lakh) | 3,204.88 | 2,479.27 |
| Profit After Tax (PAT) (in ₹ lakh) | 368.38 | 272.19 |
| Earnings per Share | 3.68 | 2.72 |
| Total Borrowings (in ₹ lakh) | 16,558.43 | 12,045.25 |
| Return on Capital Employed (%) | 9.10 | 8.68 |
| Debt-Equity Ratio | 2.53 | 1.94 |
| EBITDA (in ₹ lakh) | 2,157.69 | 1,622.08 |
Know before investing
Strengths
8Fast loan disbursal using digital platforms ensures quicker customer access.
Flexible lending supports small businesses and underserved customer segments effectively.
Local market expertise drives customised solutions in rural, semi-urban areas.
AI-powered risk models reduce defaults and improve credit assessments.
The digital loan system simplifies onboarding from sourcing to final collection.
Attractive interest rates and short processing time boost client appeal.
Expanding into rural areas enhances reach and financial inclusion efforts.
Experienced management drives strategic growth with operational efficiency focus.
Risks
8Rising interest rate volatility may reduce net interest income significantly.
Regional concentration of loan portfolio may impact financial performance adversely.
Underserved customer base increases risk of non-performing asset (NPA) levels.
Inaccurate borrower information may affect creditworthiness assessments and loan recoveries.
Disruption in IT systems may affect service consistency and delivery.
Technological changes may render existing systems outdated or less competitive.
Heavy reliance on two states may impact revenue and profitability.
Non-compliance with debenture rules may attract penalties and restrictions.
Dar Credit and Capital IPO Peer Comparison
| Company Name | EPS (Basic) | Face Value (₹) | P/E (x) | RoNW (%) |
|---|---|---|---|---|
| Dar Credit and Capital Limited | 3.68 | - | - | 5.64 |
| Spandana Sphoorty Financial Limited | 70.42 | 10 | 5.54 | 13.74 |
| Muthoot Microfin Limited | 30.2 | 10 | 6.70 | 16.03 |
| Credit Access Grameen Limited | 90.88 | 10 | 10.18 | 22.01 |
| Fusion Microfinance Limited | 50.3 | 10 | 4.03 | 17.74 |
| Satin Creditcare Network Limited | 44.34 | 10 | 3.56 | 18.16 |
