Strong profit growth prompted Moneyview to reduce IPO size: MD & CEO Agrawal

Robust profit growth and adequate internal cash generation prompted digital lending platform Moneyview to reduce the size of its public offer to Rs 1,092 crore from Rs 1,500 crore proposed earlier, MD and CEO Puneet Agrawal said on Monday.

The company has fixed a price band at Rs 32-34 per equity share for its Rs 1,092-crore Initial Public Offering (IPO), which will open for subscription on September 24. The issue will close on September 28 and the company's shares are proposed to be listed on the NSE and BSE on October 1.

The IPO comprises a fresh issue of shares worth Rs 750 crore and an Offer for Sale (OFS) of 10.05 crore equity shares, valued at Rs 342 crore at the higher end of the issue price, by existing shareholders. This takes the total issue size to Rs 1,092 crore.


Agrawal said that the company's strong profit trajectory meant it could continue its growth plans without raising the larger amount of fresh capital initially envisaged.

"We are a profit-making company. We have shown a very strong consistent trajectory of profit growth with about Rs 400 crore of profit after taxes before exceptional items in FY26," Agrawal told PTI in an interview.

In the first quarter of FY27, the company reported a profit after tax of Rs 174 crore, he said.

Given the trajectory of profits, which essentially means that "we are generating a lot of cash into the business," the discussion that the company had with its board was, in a way, that the slashed IPO proceeds would be sufficient for it to stay on its growth trajectory, Agrawal said.

"There is sufficient cash already in the business and with this Rs 750 crore we would be very comfortable to continue on the trajectory that we are at, and hence we decided to reduce this," he added.

Moneyview reported a profit after tax of Rs 242 crore in FY26 and revenue of Rs 3,351 crore during the year. For the quarter ended June 2026, the company's profit after tax stood at Rs 174 crore and revenue at Rs 1,065 crore.

The company's lending business has continued to grow, with loan disbursals rising 31 per cent to Rs 23,099 crore in FY26. Disbursals stood at Rs 7,152 crore in the first quarter of FY27, up 40 per cent year-on-year. Its assets under management (AUM) stood at Rs 22,520 crore as of June 30, 2026.

Of the Rs 750 crore proceeds from the sale of fresh issue, around 75 per cent will be used to grow the lending business, while the remaining capital will go towards new products, technology, AI and IT infrastructure, Agrawal said.

The company's lending business has been growing at roughly 30 per cent year-on-year, and the new capital will support both on-balance-sheet and off-balance-sheet lending, he said.

Moneyview does not plan to use the IPO proceeds to reduce borrowings, CFO Sourav Goyal said, as the company intends to leverage the additional equity to expand its lending business.

"We are not really looking to reduce the borrowings, because the way we look at it is that we infuse additional equity. We lever that equity and then deliver a better ROE from a shareholder standpoint," Goyal said.

The CFO said that borrowings would continue to grow broadly in line with the company's lending business and overall assets.

The company also plans to expand beyond personal loans by offering products such as home loans, investments and insurance to its existing customer base.

"We want to invest in all of those products so that the same customer can avail all of those different products in the coming years on the Moneyview platform. And that's going to be an equally big area of investment for us," Agrawal said.