Aye Finance IPO Opens on Monday: Price Band, GMP, Risks and Should You Apply?
Aye Finance IPO Opens on Monday Amid Strong MSME Credit Focus
The primary market is set for another closely watched offering as Aye Finance IPO opens on Monday, February 9, 2026, inviting investors to participate in India’s fast-growing micro-MSME lending space. The non-banking financial company (NBFC) aims to raise ₹1,010 crore through a combination of fresh issue and offer for sale (OFS).
With attention sharply focused on aye finance ipo gmp, valuation comfort, and rising NBFC credit risks, the issue has generated mixed reactions from brokerages and market participants. While some see long-term value in MSME lending growth, others advise caution due to margin pressure and asset quality trends.
This article explains everything investors need to know before applying.
Table of Contents:
Aye Finance IPO Opens on Monday: Key Highlights at a Glance
| Particulars | Details |
|---|---|
| IPO Opening Date | Monday, February 9, 2026 |
| IPO Closing Date | Wednesday, February 11, 2026 |
| Price Band | ₹122 – ₹129 per share |
| Issue Size | ₹1,010 crore |
| Lot Size | 116 shares |
| Minimum Investment | ₹14,964 |
| Listing Date | Monday, February 16, 2026 |
| Exchanges | BSE, NSE |
As Aye Finance IPO opens on Monday, retail investors have a narrow three-day window to assess fundamentals, GMP trends, and risk appetite.
What Is Aye Finance Ltd? Understanding the Business Model
Founded in 1993, New Delhi-based Aye Finance Ltd is a non-banking financial company (NBFC-ML) focused on lending to micro, small and medium enterprises (MSMEs)—a segment traditionally underserved by banks.
Core Business Segments –
- Small business working capital loans
- Secured and unsecured term loans
- Mortgage-backed property loans (Saral Loans)
- Hypothecation-based loans
The company primarily serves micro enterprises operating in manufacturing, trading, services, and allied agriculture sectors.
Why Aye Finance IPO Opens on Monday Is Important for MSME Credit Growth?
India’s MSME sector faces a credit gap of nearly ₹34 trillion, according to CRISIL. Nearly 98% of MSMEs are micro enterprises, many lacking formal documentation such as GST returns or income proof.
Aye Finance positions itself as a last-mile lender, using alternative underwriting models and on-ground collections to serve this segment—one reason why investors are closely tracking the issue as Aye Finance IPO opens on Monday.
Aye Finance IPO Structure: Fresh Issue vs OFS Explained
| Component | Amount |
|---|---|
| Fresh Issue | ₹710 crore |
| Offer for Sale (OFS) | ₹300 crore |
| Total IPO Size | ₹1,010 crore |
Where Will the Fresh Funds Be Used?
- Supporting future lending growth
- Strengthening capital adequacy
- Meeting funding requirements due to asset expansion
The OFS allows early investors such as CapitalG (Alphabet), LGT Capital, Alpha Wave India, and Elevation Capital to partially dilute their stake.
Aye Finance IPO Opens on Monday: Reservation Breakdown
| Category | Allocation |
|---|---|
| QIBs | 75% |
| NIIs | 15% |
| Retail Investors | 10% |
The low retail quota makes subscription trends and aye finance ipo gmp particularly important for small investors.
Aye Finance IPO GMP: What Grey Market Signals Are Saying
One of the most searched terms ahead of the issue is aye finance ipo gmp.
Latest Aye Finance IPO GMP Trend –
| Date | GMP (₹) | Estimated Listing Price |
|---|---|---|
| Feb 4 | ₹13 | ~₹142 |
| Feb 6 | ₹5 | ~₹134 |
| Recent | ₹0–₹5 | Flat to marginal |
The fluctuating aye finance ipo gmp suggests muted listing expectations, reflecting broader market caution toward NBFC stocks.
⚠️ Note: GMP is unofficial and speculative; it can change quickly with market sentiment.
Aye Finance Financial Performance: A Mixed Picture
Key Financials Snapshot –
| Metric | FY24 | FY25 |
|---|---|---|
| Revenue | ₹1,062 cr | ₹1,256 cr |
| Net Profit | ₹171.7 cr | ₹175.3 cr |
| Net Interest Income | ₹622 cr | ₹858 cr |
| AUM | ₹4,890 cr | ₹6,027 cr |
While topline growth remains strong, profit growth has slowed, a key concern raised by analysts as Aye Finance IPO opens on Monday.
Why Profit Declined in FY26 H1?
Brokerages flagged three main reasons:
- Higher impairment costs
- Net Interest Margin (NIM) compression
- Rising operating expenses
This explains why opinions are divided despite decent valuations.
Valuation Comparison: Is Aye Finance IPO Fairly Priced?
| Company | P/E Ratio |
|---|---|
| SBFC Finance | 27.3x |
| Five-Star Business Finance | 12.1x |
| Aye Finance (IPO) | ~14x |
At ~14x FY25 earnings, Aye Finance appears reasonably priced, but asset quality concerns remain.
Brokerage Views: Buy, Hold or Avoid?
Positive View –
- Swastika Investmart: Suitable for long-term investors betting on MSME credit growth
- Sushil Finance: Solid fundamentals; invest with long-term horizon
Cautious / Negative View –
- SBI Securities: Avoid due to rising NPAs and credit cost uncertainty
- Ajmera Associates: Only for high-risk investors with 2–3 year view
As Aye Finance IPO opens on Monday, investor decision depends heavily on risk tolerance.
Vedanta Stock Analysis 2025-2026: Dividend Boom & ₹630 Price Target Explained
Key Risks You Must Know Before Applying
1. Rising NPAs
- Gross NPA rose from 2.49% (FY23) to 4.85% (Sep 2025)
2. High Unsecured Loan Exposure
- Nearly 38–41% of AUM unsecured in recent years
3. NBFC Cyclicality
- Sensitive to interest rate and liquidity cycles
4. Anchor Investor Lock-In
- Partial lock-in of 30–90 days may impact post-listing supply
Aye Finance vs Other MSME NBFCs: Comparison
| Parameter | Aye Finance | Peers |
|---|---|---|
| Target Segment | Micro MSMEs | MSME + SME |
| Ticket Size | Small | Medium |
| Risk Profile | Higher | Moderate |
| Growth Potential | High | Moderate |
This comparison explains both the opportunity and risk as Aye Finance IPO opens on Monday.
Who Should Consider Applying?
✅ Investors who:
- Believe in long-term MSME credit growth
- Can tolerate NBFC volatility
- Have a 2–3 year investment horizon
❌ Investors who:
- Seek quick listing gains
- Prefer low-risk investments
FAQs: Aye Finance IPO Opens on Monday
Q1. When does Aye Finance IPO open?
Aye Finance IPO opens on Monday, February 9, 2026, and closes on February 11.
Q2. What is the Aye Finance IPO GMP today?
The aye finance ipo gmp is currently flat to marginal, indicating limited listing gains.
Q3. Is Aye Finance IPO good for long term?
It may suit long-term investors comfortable with MSME lending risk and NBFC cycles.
Q4. What is the minimum investment amount?
₹14,964 for one lot at the upper price band.
Q5. Should retail investors apply?
Only with careful risk assessment due to low retail quota and asset quality concerns.
Final Verdict: Should You Apply as Aye Finance IPO Opens on Monday?
As Aye Finance IPO opens on Monday, it presents a balanced risk-reward proposition. The company operates in a massive underpenetrated market with strong long-term tailwinds, but near-term challenges like rising NPAs and margin pressure cannot be ignored.
The subdued aye finance ipo gmp signals realistic expectations—this is not a quick-listing-gain IPO, but potentially a measured long-term bet for experienced investors.
👉 Bottom line:
Apply only if you believe in MSME credit growth and are comfortable riding NBFC cycles.
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