| Fund Raise Value | ₹832.00 CrPreferential Issue |
|---|---|
| Market Cap | ₹6,019.18 CrBanking & Finance |
| ROE Annual | 20.96%Sector: 16.81% |
| TTM Revenue | ₹2,385.64 CrOperating Income |
| Deal value | ₹832 Cr |
| Share of market cap | 13.8% |
Key highlights
- Fundraise of approximately ₹832 crore approved through preferential issuance of equity shares
- 75% of capital to be infused into wholly owned subsidiary Si Creva Capital Services Private Limited
- Participation from 34 investors including Axis Mutual Fund, HDFC Mutual Fund, and MIT
- Strategic goal to achieve multiple credit rating upgrades over the next two years
- 25% of proceeds allocated for general corporate purposes to support ecosystem growth
Details of the Preferential Issuance
OnEMI Technology Solutions has approved the issuance of equity shares to 34 identified institutional and individual investors to raise approximately ₹832 crore. Major allocations include ₹109.60 crore to Axis Small Cap Fund and ₹80 crore to the Massachusetts Institute of Technology. Other prominent participants include HDFC Banking & Financial Services Fund with ₹70 crore, Envision India Fund with ₹40 crore, and several schemes from White Oak and Groww Mutual Fund.
This fundraise is conducted under SEBI Issue of Capital and Disclosure Requirements Regulations and remains subject to shareholder and regulatory approvals.
Strategic Allocation and Growth Objectives
- Infrastructure Scaling: 75% of the proceeds will fund Si Creva Capital Services to expand technology and digital capabilities.
- Lending Expansion: The capital infusion provides Kissht with financial flexibility to scale its consumer lending business and product offerings.
- Credit Rating Targets: The company aims for multiple rating upgrades to lower borrowing costs and diversify its pool of capital.
- Corporate Strategy: 25% of the fundraise is earmarked for general corporate purposes to strengthen Kissht's digital financial services ecosystem.
- Capital Adequacy: The strengthening of the balance sheet is intended to build resilience through varying credit cycles.
Financial Performance and Context
The company enters this fundraise with strong financial momentum, reporting a TTM operating revenue of ₹2,385.64 crore and a net profit of ₹316.79 crore. OnEMI Technology has demonstrated high growth, with annual revenue increasing by 63.31% and net profit by 75.23% year-on-year. The company's Return on Assets (RoA) stands at 7.05%, surpassing the sector average of 4.53%.
Its market performance reflects this growth, with the stock price increasing 98.57% over the past year, currently trading near its 52-week high of 351.5. The promoter holding currently stands at 24.8%, with institutional investors holding 26.69% of the company.
Industry Trends in Digital Lending
Operated by OnEMI Technology Solutions, Kissht utilizes technology and data-led underwriting to provide credit solutions to consumers across India. This fundraise aligns with broader trends in the Indian digital lending sector, where NBFCs are aggressively raising equity capital to maintain high capital adequacy ratios while scaling operations. By lowering funding costs through expected rating upgrades, the company aims to strengthen its margins and profitability while maintaining credit discipline within the rapidly evolving digital financial services landscape.
| Share price | ₹339.55 |
|---|---|
| Market capitalisation | ₹6,019.18 Cr |
| Revenue (annual) | ₹2,179.25 Cr |
| Net profit (annual) | ₹281.45 Cr |
| Revenue (latest quarter) | ₹669.50 Cr+8.10% vs previous quarter |
| Net profit (latest quarter) | ₹95.08 Cr+15.69% vs previous quarter |
| P/E (TTM) | 19×Sector 22× |
| Promoter holding | 24.8% |
| FII holding | 7.64%Current quarter |
Reference market data from a third-party provider, as of the story. Not a valuation or a recommendation.
Exchange filing by OnEMI Technology Solutions Limited announcing the Board's approval for a ₹832 crore fundraise via preferential issue. Market figures from a third-party data provider.
