Liquidity Events
MFI Arohan Financial Services files papers to raise Rs.600-Cr via fresh issue
Aavishkaar Group-backed, Kolkata-based microfinance institution (MFI) Arohan Financial Services has filed papers to raise funds through an initial public offering, which includes a fresh issue of shares worth Rs.600-Cr. The offering also features an offer for sale of 4.04 crore shares by existing shareholders, including US Teachers Insurance and Annuity Association, Michael & Susan Dell Foundation, Aavishkaar Goodwell India Microfinance Development Company-II, Tano Capital, TR Capital III Mauritius, and the Danish Sustainable Development Goals Investment Fund.DAM Capital Advisors, Motilal Oswal Investment Advisors, and SBI Capital Markets are acting as the managers to the transaction.Founded in 2006, Arohan provides income-generating loans and various financial and non-financial products to customers across rural and semi-urban regions. As of December 2025, the company operated 1,073 branches across 17 states and reported assets under management of Rs.6,308-Cr.The company plans to use the proceeds from the fresh issue to strengthen its capital base.
Between Jun 2006 and Feb 2023, Arohan Financial Services had attracted about $ 270 M from Bellwether, Lok Capital, Michael & Susan Dell Foundation, India Financial Inclusion Fund, Aavishkaar, Aavishkaar Goodwell, Microfinance Initiative for Asia, Tano Capital, Maj Invest, TR Capital, IFMR Trust, IFC, Northern Arc Capital, FMO, Impact Fund Denmark, TIAA and others.For FY25, Arohan Financial Services had reported about INR 1,692 Cr in Operating Income and about INR 110 Cr in PAT.
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