Ananya Birla Backed Svatantra Microfin Prepares for ₹2000-2500 Crore IPO; Picks Axis, Kotak as Advisors

Svatantra Microfin Private Ltd, a major player in India’s microfinance sector led by Ananya Birla, has initiated preparations for a public listing, as per The Moneycontrol report.  

The company is moving ahead with its IPO plans as it looks to raise capital to support expansion and provide liquidity to existing investors. 

IPO Plans and Advisor Appointments 

As per the report, the company has onboarded Axis Capital and Kotak Mahindra Capital as advisors for its proposed IPO, with the process expected to begin in early April. Additional investment banks may be included in the syndicate at a later stage as discussions progress. 

The size of the offering is estimated to be in the range of ₹2,000 crore to ₹2,500 crore. Alongside the fresh capital raise, the IPO is also expected to allow existing investors to partially exit their holdings. 

Earlier, the company had invited multiple investment banks to pitch for the mandate. Discussions were also held with SBI Capital–Investec, JM Financial and BofA Securities for potential advisory roles. 

Business Scale, Growth and Financials 

Founded in 2013, Svatantra Microfin focuses on providing financial services to women entrepreneurs through collateral-free lending models, primarily using the Joint Liability Group approach.  

The company has expanded its footprint significantly, serving over 4 million customers through 2,064 branches across 19 states, supported by a workforce of more than 24,000 employees. 

In FY25-26, the company disbursed loans worth ₹19,600 crore and reported a gross loan portfolio of ₹15,700 crore.  

For FY24-25, it recorded an operating profit of ₹1,067 crore and a profit after tax of ₹419 crore, with operating expenses at 7.3% of assets under management and a net worth of ₹3,721 crore. 

The combined entity, following the acquisition of Chaitanya India Fin Credit, reported assets under management of ₹14,902 crore in FY24-25, reflecting 13% year-on-year growth and a return on assets of 4%. Capital adequacy remained strong with CRAR at 29.61% and 23.55% for the respective entities. 

Recent Performance and Strategic Backing 

The company has demonstrated strong momentum in its recent quarterly performance. Net profit rose to ₹72.65 crore in the December 2025 quarter from ₹17.75 crore a year earlier, marking a 309.30% increase. Revenue during the same period grew 33.65% to ₹494.18 crore. 

The firm had previously secured ₹1,930 crore in funding from Advent International and Multiples Private Equity in March 2024, marking one of the largest investments in the microfinance sector. 

Read More: Upcoming IPO: Intellius Recode Filed DRHP with SEBI to Raise Funds! 

Conclusion 

With strong financial performance, a large customer base and institutional backing, Svatantra Microfin’s IPO plans mark a significant step in its growth journey as it prepares to enter public markets. 

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