Aye Finance is entering the public market with a ₹1,010 crore initial public offering, scheduled to open for subscription from February 9 to February 11, 2026. The capital raise is structured as a fresh issue of shares worth ₹710 crore and an offer for sale totaling ₹300 crore. The company has set a price band of ₹122 to ₹129 per share. Retail investors can participate with a minimum investment of ₹14,964 for a single lot of 116 shares. The offering values the lender at approximately ₹3,184 crore at the upper price limit. The fresh capital is earmarked to bolster the company’s capital base, supporting its expansion across the micro and small enterprise (MSE) lending landscape. As of September 2025, Aye Finance manages assets totaling ₹6,027 crore and serves more than 5.86 lakh active customers. Financial performance shows a strong growth trajectory. Total income rose to ₹1,459 crore for the fiscal year ending March 2025, up from ₹1,040 crore in the previous year. Net profit for the same period stood at ₹175 crore. This growth is driven by a "phygital" model that combines 568 physical branches with digital underwriting. While the company maintains a robust 12.12% return on net worth, it faces challenges typical of the sector. Gross Non-Performing Assets (NPA) stood at 4.21% as of late 2025, reflecting the inherent volatility of lending to micro-businesses. Approximately 38% of its loan book consists of unsecured credit. The MSME lending market in India continues to expand, with an estimated credit gap of ₹30 lakh crore. This gap presents a significant opportunity for specialized NBFCs like Aye Finance, even as the sector deals with rising compliance costs and a shift toward digital integration. Shares are expected to list on the BSE and NSE on February 16, 2026. Early grey market indicators suggest a modest premium, reflecting cautious optimism as the company transitions from private equity backing to public ownership. Major investors, including CapitalG and LGT Capital, are partially divesting through the offer for sale component.