OnEMI Technology Solutions IPO: A Comprehensive Review of Day 1 Details and Investment Opportunities

OnEMI Technology Solutions IPO to Open for Subscription from April 30 to May 5

OnEMI Technology Solutions Ltd, the parent company of the digital lending platform Kissht, is set to open for subscription from April 30 to May 5. The company's initial public offering (IPO) price band has been established at ₹162-171, which places the company's valuation at nearly ₹2,900 crore at the highest price point.

The minimum lot size for the IPO is set at 87 equity shares, requiring a minimum investment of ₹14,877 for retail investors at the upper price band. Approximately 50% of the offering is allocated for qualified institutional buyers (QIBs), 35% for retail investors, and the remaining 15% for non-institutional investors (NIIs).

Established in 2016, Kissht specializes in providing digital credit solutions aimed at young consumers within the mass market. As of March 31, 2025, the platform had 53.23 million registered users and had assisted 9.16 million customers. OnEMI Technology Solutions announced on Wednesday that it has raised ₹278 crore from anchor investors in preparation for its initial public offering.

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The anchor book attracted a diverse group of domestic mutual funds and international investors, including HDFC Mutual Fund, ICICI Prudential MF, Ashoka India Equity Investment Trust, WhiteOak Capital, Bandhan MF, Quant MF, among others, as indicated in a circular posted on BSE's website.

The estimated listing price of OnEMI Technology Solutions share price was indicated at ₹175.5 apiece, which is 2.63% higher than the IPO price of ₹171. The grey market premium, which indicates investors' readiness to pay more than the issue price, is currently at +4.5.

IPO Details and Subscription Status

The initial public offering (IPO) consists of a new issuance of equity shares totaling ₹850 crore, along with an offer-for-sale (OFS) of 44,39,788 equity shares valued at ₹76 crore at the upper limit by current shareholders. This brings the overall size of the issue to ₹926 crore.

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The shareholders selling their stakes include Ammar Sdn Bhd Investor, Vertex Ventures SEA Fund III Pte. Ltd, Vertex Growth Fund Pte. Ltd, and others. The new issue's proceeds will support the capital growth of its subsidiary Si Creva to satisfy upcoming funding needs, in addition to various corporate purposes.

The book-running lead managers for the issue include JM Financial, HSBC Securities and Capital Markets, Nuvama Wealth Management, SBI Capital Markets, and Centrum Broking, with KFin Technologies Ltd serving as the registrar. Subscription for the public issue will open at 10:00 IST during Thursday's deals.

IPO Review

According to Swastika Investmart, the stock is currently trading at an attractive valuation of 10.8x P/E and 0.91x P/B, reflecting a steep discount compared to peers such as Bajaj Finance. The brokerage highlighted the company's strong scale, with a user base of over 6.3 crore and an impressive Net Promoter Score of 91–95, which is uncommon in the lending space.

However, it also flagged key risks, including the fact that around 94% of the loan book is unsecured, making the business highly sensitive to economic slowdowns or tighter regulatory measures by the RBI. While performance dipped in FY25 and saw some recovery in the first nine months of FY26, consistency remains a concern.

According to Beacon Capital Advisors Pvt Ltd (Equivision), the company has focused on improving customer quality and building sustainable growth, even as revenue declined 20% in FY25 due to calibrated pricing and a shift toward longer-tenure loans. Despite this, assets under management (AUM) grew strongly by around 57% year-on-year to ₹4,086.6 crore, indicating robust demand and scale expansion.

The Equivision report highlighted that a balanced mix of on-book lending through its RBI-registered NBFC subsidiary Si Creva, along with off-book partnerships with financial institutions, has enhanced capital efficiency and supported scalability while expanding its customer reach. Asset quality remains a key strength, with the company delivering mid-tier GNPA performance while outperforming peers on key metrics such as provision coverage ratio (PCR) and net NPAs.