Veritas Finance has received SEBI's nod for its IPO. The Chennai-based NBFC plans a fresh issue of ₹900 crore, plus an offer for sale (OFS) of up to 1.28 crore shares. SEBI gave its observations on 19 October 2026, and its status report of 9 November made it public.
This is the Veritas Finance IPO's second time at this stage. As per a Moneycontrol report, SEBI had cleared an earlier version in April 2025, but the company did not launch it.
What the Veritas Finance IPO looks like
| Item | Detail |
|---|---|
| Fresh issue | ₹900 crore |
| Offer for sale | Up to 1.28 crore shares |
| Draft papers refiled | 29 July 2026 |
| SEBI observations | 19 October 2026 |
| Possible pre-IPO placement | Up to ₹180 crore |
The company may raise up to ₹180 crore from a pre-IPO placement. If it does, the fresh issue becomes smaller by that amount.
Who is selling?
The OFS is a sale by existing shareholders. The money from it goes to them, not to the company. The sellers include Lok Capital Growth Fund and British International Investment, the UK government-backed investor. Three individuals and Growth Catalyst Partners also sell.
The biggest shareholder is Norwest Venture Partners with 21.58%. Kedaara Capital holds 15.08%, British International Investment 10.33% and Lok Capital 9.48%.
What does the company do?
Veritas Finance was incorporated in 2015. It lends to small businesses and self-employed people. Its products include small business loans, housing loans, used commercial vehicle loans and working capital loans.
The money from the fresh issue will go towards the company's capital base and future business needs, including onward lending.
How are the numbers?
| FY26 figure | Value | Change on FY25 |
|---|---|---|
| Net profit | ₹330.4 crore | Up 12% |
| Net interest income | ₹1,133.5 crore | Up 18% |
| Assets under management | ₹9,134 crore | Up 24.3% |
| Disbursements | ₹4,579.5 crore | Up 16.4% |
The company names Five-Star Business Finance, SBFC Finance, Aavas Financiers, Aptus Value Housing Finance and Sundaram Finance as listed peers. Its lead managers are ICICI Securities, IIFL Capital Services, JM Financial and SBI Capital Markets.
What happens next
The company can now file its red herring prospectus (RHP) with the Registrar of Companies. The RHP carries the IPO dates, price band and final issue structure. SEBI's approval is usually valid for 12 months from the observations date.
No IPO date has been announced yet. Track upcoming issues on our upcoming mainboard IPO page. For another NBFC that got a nod this week, see our IFL Finance IPO report. The figures above come from this Moneycontrol report.
