Anand Rathi Shares and Stock Brokers Rs. 745-crore IPO filed draft papers with SEBI

Anand Rathi Group’s brokerage arm, Anand Rathi Shares and Stock Brokers, through an initial public offering (IPO) raised Rs. 745 crore has been filed with the capital market regulator SEBI in draft papers. The proposed IPO is fully priced at Rs. There is a fresh issue of shares up to 745 crores. According to the Draft Red Herring Prospectus (DRHP), the offer includes reservation for subscriptions by eligible employees.

The company through pre-IPO placement raised Rs. 149 crores can be collected. If the placement is completed, the issue size will be reduced.

Going by the draft papers filed on Saturday, the IPO’s Rs. 550 crore proceeds will be used to fund the company’s long-term working capital requirements and general corporate purposes.

Anand Rathi Share and Stock Brokers Limited provides a wide range of financial services including broking, margin trading and distribution of financial products under the brand name ‘Anand Rathi’.

Catering to a diverse clientele, the company serves retail investors, high-net-worth individuals (HNIs), ultra-HNIs and institutional clients.

While its client base is spread across various age groups, 1.46 lakh of its active clients – representing 85 percent of the total, were above 30 years of age as on September 30, 2024.

As of September 2024, Anand Rathi Shares and Stock Brokers operates through a strong network of 90 branches in 54 cities across India, supported by 1,123 authorized persons (agents approved by the respective stock exchanges) in 333 cities.

On the financial front, revenue from operations in FY 2024 grew by 46 percent to Rs. 682 crores, which in FY 2023 will be Rs. 468 crores. Profit after tax in FY 2023 will be Rs. 37.74 crore in FY 2024 to Rs. 77.29 crores.

For the six months ended September 30, 2024, revenue from operations stood at Rs. 441.72 crore and profit after tax was Rs. 63.66 crores.

Nuwama Wealth Management, DAM Capital Advisors and Anand Rathi Advisors are the book-running lead managers. The shares are proposed to be listed on National Stock Exchange of India Limited and BSE.