Dar Credit & Capital IPO: Microfinance NBFC with rural focus

Dar Credit & Capital is launching a Rs 25.7 crore IPO on May 21, focused on expanding its rural lending business. With a fresh issue of shares and modest pricing, the microfinance NBFC will list on the NSE SME platform on May 28.

IPO Details

Kolkata-based NBFC Dar Credit & Capital is set to launch its IPO between May 21 and 23, 2025, with shares priced in the range of Rs 57–Rs 60. Each lot comprises 2,000 shares, with a minimum investment of approximately Rs 1.14 lakh. The issue is a fresh issue of 42.7 lakh shares, raising ~Rs 25.7 crore. Listing is expected on the NSE SME platform on May 28.

Business Overview

Established in 1994, Dar Credit focuses on microloans and MSME lending in underserved semi-urban and rural markets, targeting government staff, women borrowers, and small business owners. It operates primarily in Eastern India with offices across West Bengal, Bihar, Rajasthan, and Jharkhand. The company aims to bridge the credit gap for low-income segments—a key theme in India's financial inclusion efforts.

Financials

The company reported a revenue of Rs 33 crore and net profit of Rs 3.97 crore in FY24, representing YoY growth of 29 per cent and 35 per cent, respectively. Nine-month FY24 figures also showed strong performance (Rs 31 crore revenue, Rs 4.9 crore PAT). Net margins hover around 10 per cent. With the fresh equity infusion, Dar Credit plans to strengthen its lending book while maintaining moderate leverage.

Investor Outlook

At the cap price, the IPO values the firm at a P/E of ~22x FY24 earnings, making it one of the more conservatively priced SME IPOs. Grey-market data suggested a ~20 per cent premium, indicating moderate investor interest. While the company operates in a promising niche, risks around asset quality and geographic concentration persist. Suitable for investors with a high-risk appetite and interest in rural finance plays.

For detailed IPO information, visit our IPO page- Dar Credit & Capital Ltd IPO

Disclaimer: This story was created with the assistance of artificial intelligence and is intended for informational purposes only. Please take it with a pinch of salt and do your own research or consult a financial advisor before making investment decisions.