Muthoot Fincorp Appoints Four Lead Managers For ₹3,000 Crore IPO
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Muthoot Fincorp has appointed Kotak Mahindra Capital, Morgan Stanley India, JM Financial and SBI Capital Markets as lead managers for its proposed ₹3,000-crore IPO, according to sources familiar with the matter. Read ahead to know more.
Muthoot Fincorp, the gold loan lender, has appointed Kotak Mahindra Capital, Morgan Stanley India, JM Financial and SBI Capital Markets as book-running lead managers for its proposed ₹3,000-crore initial public offering (IPO), according to people aware of the development.
The company is expected to file its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) this week, with the proposed issue likely comprising fresh stock that would expand the equity base, potentially resulting in around 10% dilution of promoter equity, sources said.
Use Of IPO Proceeds
According to sources, proceeds from the Muthoot Fincorp IPO are likely to be used to strengthen its capital base and support growth in existing businesses. The company may also use the funds to expand its branch network and invest in technology.
The company plans to leverage its physical and digital distribution network to widen its customer base, particularly in underserved rural and semi-urban markets, with gold loans expected to remain the primary growth driver even as it scales up other product lines.
Muthoot Fincorp also intends to deepen its presence in tier-II and tier-III markets and strengthen engagement with existing customers by combining its branch network with its digital platform, Muthoot Fincorp ONE.
Business Overview And Financial Performance
The lender offers a range of products, including gold loans, business loans, loans against property, supply-chain financing and digital loans, while the broader Muthoot Pappachan Group also has interests in microfinance, housing finance, insurance distribution and broking.
According to the company, Muthoot Fincorp closed FY26 with consolidated profit after tax of ₹1,847.62 crore on consolidated revenue of ₹11,227.80 crore, while its consolidated assets under management (AUM) stood at ₹73,448.82 crore as of 31 March 2026.
About Muthoot Fincorp
Muthoot Fincorp is the flagship financial services company of the 139-year-old Muthoot Pappachan Group and is primarily focused on gold-backed lending. The non-bank lender operates more than 3,700 branches across India and has been present in the gold loan business for over two decades.
While the listed Muthoot Finance and the currently unlisted Muthoot Fincorp trace their origins to the same founding family in Kerala, the two companies are run under different branches of the family.
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This article is for informational purposes only and should not be considered investment advice from Kotak Neo. For compliance T&C and disclaimers, Visit www.kotakneo.com/disclaimer
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