IPO Overview
Vaibhav Vyapaar Limited was originally incorporated in February 2009 as Vaibhav Vyapaar Private Limited in Kolkata, and is a Reserve Bank of India-registered Non-Banking Financial Company (NBFC). The company operates a fully digital lending platform — LoanFront — through which it extends credit to borrowers both on a direct lending and co-lending basis. In addition to its core lending operations, the company generates revenue by offering its proprietary technology platform as a service. LoanFront has recorded more than 114 lakh downloads and cumulative disbursements of approximately ₹1,500 crore as of June 2026.
The company is now launching its SME IPO on the NSE SME platform to raise approximately ₹42.10 crore. The IPO is entirely a fresh issue of shares, meaning all money raised goes directly to the company with no offer for sale by existing shareholders. The price band is set at ₹51–₹54 per share with a lot size of 2,000 shares. The IPO opens on 13 October 2026 and closes on 15 October 2026, with listing expected on 21 October 2026.
IPO Detailed Information
Issue Details
| Parameter | Details |
| IPO Type | Book Built – SME |
| Listing Exchange | NSE SME |
| IPO Open Date | 13 October 2026 |
| IPO Close Date | 15 October 2026 |
| Allotment Date | 16 October 2026 (Expected) |
| Refund Initiation | 19 October 2026 |
| Credit to Demat | 19 October 2026 |
| Listing Date | 21 October 2026 (Tentative) |
| Price Band | ₹51 – ₹54 per share |
| Face Value | ₹5 per share |
| Lot Size | 2,000 shares |
| Minimum Investment (Retail) | ₹2,16,000 (2 lots = 4,000 shares) |
| Minimum Investment (S-HNI) | ₹3,24,000 (3 lots = 6,000 shares) |
| Issue Size | ₹42.10 crore |
| Fresh Issue | ₹42.10 crore |
| Offer For Sale (OFS) | Nil |
Note: The entire IPO is a fresh issue — no OFS component. All IPO proceeds go directly to the company.
Issue Break-up
| Category | Allocation |
| Qualified Institutional Buyers (QIB) | ~50% |
| Non-Institutional Investors (NII/HNI) | ~15% |
| Retail Individual Investors (RII) | ~35% |
| Market Maker | Reserved Portion |
OFS / Selling Shareholders
There is no Offer For Sale (OFS) in this IPO. Since the IPO consists entirely of fresh shares, existing promoters are not selling any shares through this offering.
Objects of the Issue (Fund Utilization)
The company plans to use the IPO proceeds as follows: ₹32 crore (78.93%) to augment the capital base of the company to support its lending operations, and ₹8.54 crore (21.07%) for general corporate purposes.
- Augment capital base for lending operations — ₹32 crore (78.93%)
- General corporate purposes — ₹8.54 crore (21.07%)
Lead Managers & Registrar
- Book Running Lead Manager: Hem Securities Ltd.
- Registrar to the Issue: KFin Technologies Ltd.
Promoters & Management
The promoters of the company are Mr. Itha Venkata Raghava Gowrinath and CapFront Technologies Pvt. Ltd. Promoters currently hold 99.99% of the company before the issue, which will reduce to approximately 72.34% after the IPO.
Company Details
Vaibhav Vyapaar operates a digital-first lending platform that extends unsecured personal loans to both salaried and self-employed borrowers. The company’s end-to-end customer onboarding, credit assessment, and loan disbursement process is substantially dependent on its proprietary digital lending platform, LoanFront, which integrates credit bureau checks, account aggregation, payments, and disbursals into a seamless digital workflow.
Business Verticals:
- Direct Lending (unsecured personal loans)
- Co-lending partnerships with banks and other financial institutions
- Platform-as-a-Service (LoanFront tech offered to external lenders)
Key Platform Metrics (as of June/July 2026):
- LoanFront app has recorded more than 114 lakh downloads and cumulative disbursements of approximately ₹1,500 crore.
- AUM of ₹8,124.05 lakhs (₹81.24 crore) as of 31 July 2026; Net worth of ₹4,719.55 lakhs (₹47.20 crore) as of 31 July 2026.
Target Borrowers:
- Salaried individuals
- Self-employed borrowers
- First-time and underserved credit borrowers
Registered Office: Kolkata, West Bengal
Financial Snapshot
| Period | Total Income (₹ Cr) | PAT (₹ Cr) | EBITDA (₹ Cr) | Net Worth (₹ Cr) | Total Borrowings (₹ Cr) |
| FY24 | ₹25.46 | ₹0.45 | ₹5.38 | ₹25.74 | ₹26.76 |
| FY25 | ₹25.34 | ₹1.48 | ₹7.07 | ₹27.22 | ₹22.66 |
| FY26 | ₹37.64 | ₹1.97 | ₹10.84 | ₹29.19 | ₹46.80 |
Key Financial Metrics
- Revenue grew 46.91% in FY26; AUM grew 48.95% in FY26.
- PAT margin for the four months ending July 2026 stood at 16.70% — a notable improvement over full-year FY26 levels.
- Pre-IPO P/E: 42.62x | Post-IPO P/E: 16.24x | NAV per share: ₹18.13 | RoNW: 6.75% | EPS: ₹1.22
- Net worth grew from ₹25.74 crore (March 2024) to ₹47.20 crore (July 2026); debt-to-equity fell from 1.60 to 0.80 over the last four months.
Company Strengths
- LoanFront has built deep market knowledge and borrower cash-flow pattern insights across multiple geographies through its digital platform.
- Fully digital, proprietary technology platform with modular architecture integrating payment gateways, credit bureaus, and identity verification providers — enabling seamless paperless customer onboarding.
- Robust automated underwriting framework and risk management systems supporting fast and scalable credit assessment.
- Dual revenue model — lending income plus platform-as-a-service revenue from external lenders
- IPO capital of ₹32 crore will augment the capital base, enabling higher disbursements and AUM growth going forward.
- Strong recent momentum — 46.91% revenue growth and 48.95% AUM growth in FY26, with improving PAT margins in early FY27
Key Risks & Challenges
- Vaibhav Vyapaar primarily provides unsecured loans, meaning there is generally no asset-backed collateral available to recover outstanding amounts if a borrower defaults.
- End-to-end operations are substantially dependent on the LoanFront trademark and its proprietary digital platform — any disruption, loss of brand trust, or technology failure could severely impact operations.
- Business profitability is highly exposed to interest rate volatility, and significant AUM concentration exists in specific Indian states and regions.
- Total income was flat at ₹25.46 crore in FY24 and ₹25.34 crore in FY25 before rising in FY26 — meaning meaningful growth is very recent and yet to be tested across a full credit cycle.
- Return on net worth is low at 6.37% and return on equity is 7.87% — the profit base (₹1.97 crore PAT in FY26) remains small relative to the ₹84.23 crore asset base.
- Outstanding legal proceedings exist involving the company, promoters, directors, and KMP which may adversely affect business and financial condition.
- SME IPO liquidity risk — limited secondary market depth on the NSE SME platform
Disclaimer:
This document is for informational purposes only and should not be considered as investment advice. Investors should read the Red Herring Prospectus (RHP) carefully and consult a financial advisor before investing in any IPO. Market investments are subject to risk.
