Finance Buddha IPO Anchor Book Oversubscribed Ahead of November 6 Issue Opening

Finance Buddha (Finbud Financial Services Limited) has completed its anchor book allocation ahead of its SME IPO launch, raising approximately ₹20.4 crore from a mix of domestic and global institutional investors. The anchor portion was oversubscribed 1.6 times, signalling strong early demand for the fintech company’s shares.

Prominent investor Ashish Kacholia, already among the key non-promoter shareholders, led the anchor round with an investment of roughly ₹7.17 crore through Bengal Finance & Investment.

Another significant participant was the Bandhan Small Cap Fund, which contributed around ₹6.17 crore — marking its first-ever anchor participation in an SME IPO, a rare move in a segment typically dominated by boutique institutions and HNIs.

The remaining seven investors, including domestic funds and select global portfolios, invested around ₹1 crore each, reflecting balanced interest across institutional categories.

IPO Details and Objectives

The Finance Buddha IPO comprises an entirely fresh issue of 50.48 lakh equity shares, priced between ₹140 and ₹142 per share. The issue will open for public subscription on November 6 and close on November 10.

At the upper price band, the company is expected to raise approximately ₹71.7 crore, with proceeds earmarked for technology upgrades, expansion of its distribution and agent network, and penetration into new regional markets.

Finance Buddha operates as a “phygital” retail loan marketplace, combining physical reach with digital lending infrastructure. The platform connects borrowers with financial institutions using data-driven credit matching tools and a network of financial advisors.

Backed by High-Profile Investors

The company counts several marquee investors among its backers, including Ashish Kacholia and the MS Dhoni Family Office, both of whom have supported its expansion in India’s fast-evolving retail loan distribution space.

Finance Buddha’s business model aligns with India’s growing demand for tech-enabled lending platforms, serving borrowers in Tier-II and Tier-III cities where access to organized credit remains limited.

Market Context and Outlook

The oversubscription of Finance Buddha’s anchor book comes at a time when SME IPOs have drawn increased regulatory and investor scrutiny following a wave of volatile post-listing performances.

Analysts note that the company’s strong investor lineup and clear profitability focus could help it stand out among recent small-cap listings. However, market observers caution that valuations in the SME segment remain sensitive to broader liquidity conditions.

With the IPO opening to the public on November 6, the coming week will test whether institutional enthusiasm in the anchor round translates into retail and HNI participation.

If the response sustains, Finance Buddha could emerge as one of the most-watched SME IPOs of FY26, reflecting continued investor interest in India’s expanding fintech ecosystem.