Anand Rathi IPO Gains Momentum: Rs 220 Crore Raised from Anchor Investors Ahead of Rs 745 Crore Public Issue

Anand Rathi Share and Stock Brokers, the brokerage arm of the Anand Rathi Group, has made a strong debut in the capital markets by securing Rs 220.49 crore from anchor investors ahead of its initial public offering (IPO. The anchor book, finalized on September 22, 2025, sets the tone for the company’s Rs 745 crore IPO, which opens for public subscription on September 23 and closes on September 25.

 

The IPO, which comprises a 100 percent fresh issue with no offer-for-sale component, reflects the company’s intent to raise capital for long-term working capital needs and general corporate purposes. With a price band of Rs 393 to Rs 414 per equity share, the offering has already attracted significant institutional interest and is commanding a healthy grey market premium.

 

Key Highlights from the Anchor Investment Round

 

Anand Rathi allocated 53.26 lakh equity shares at Rs 414 per share to anchor investors.

 

The anchor round raised Rs 220.49 crore, indicating strong institutional confidence.

 

Participating institutions include HDFC Mutual Fund, Kotak Mutual Fund, BNP Paribas Financial Markets, Quant Mutual Fund, Aditya Birla Sun Life Mutual Fund, SBI Life Insurance, Pinebridge Global Funds, Singularity Mutual Fund, Morgan Stanley India Investment Fund, Kotak Mahindra Life Insurance, Bandhan Mutual Fund, 360 One Equity Mutual Fund, ITI Mutual Fund, and Rajasthan Global Securities.

 

IPO Structure and Financial Details

 

Issue Composition

 

The IPO is entirely a fresh issue, aggregating Rs 745 crore.

 

No shares are being offered by existing shareholders, confirming the absence of an offer-for-sale component.

 

Equity shares have a face value of Rs 5 each and will be listed on both NSE and BSE, with NSE as the designated exchange.

 

Use of Proceeds

 

Rs 550 crore from the net proceeds will be allocated to meet long-term working capital requirements.

 

The remaining funds will be used for general corporate purposes, including expansion and technology upgrades.

 

Listing Expectations

 

Shares are commanding a grey market premium of Rs 31, or 7.5 percent, over the issue price of Rs 414.

 

Estimated listing price is Rs 445, reflecting strong market sentiment.

 

Company Profile and Growth Trajectory

 

Anand Rathi Share and Stock Brokers provides a wide range of financial services including broking, margin trading, and distribution of financial products.

 

The company serves retail investors, HNIs, ultra-HNIs, and institutional clients through a multi-channel presence.

 

As of March 2025, it operates 90 branches across 54 cities and has 1,125 authorized persons in 290 cities.

 

Revenue from operations rose to Rs 845.70 crore in FY25 from Rs 467.83 crore in FY23, reflecting a CAGR of 34.45 percent.

 

Profit after tax increased from Rs 37.75 crore to Rs 103.61 crore over the same period, registering a CAGR of 65.68 percent.

 

Market Outlook and Lead Managers

 

The IPO is being conducted through the book-building route.

 

Book-running lead managers include Nuvama Wealth Management, DAM Capital Advisors, and Anand Rathi Advisors.

 

MUFG Investor Services India Private Limited is the registrar to the issue.

 

Conclusion

 

Anand Rathi Share and Stock Brokers’ successful anchor round signals robust investor confidence in the company’s growth story and market positioning. With strong financials, a diversified client base, and a strategic use of IPO proceeds, the firm is poised to capitalize on India’s expanding retail investment landscape. As the public issue opens, all eyes are on its listing performance and long-term trajectory in the financial services sector.

 

Sources: The Economic Times, Fortune India, Rediff Money, MSN News