InCred Holdings’ IPO: The rising momentum in India’s financial services space.

InCred Holdings has received regulatory approval from Indian regulators (Securities and Exchange Board of India) to go public. This is significant as it not only marks a key point in InCred's journey to become a public company, but also demonstrates an increasing demand for public offerings within the financial services sector as we approach the end of the second year of listings within the Indian marketplace.

About The Company 

InCred Holdings is a holding company of InCred Financial Services, a technology-oriented financial services company in India. As an NBFC (non-banking financial institution), InCred can provide financial services (including loans) but is not a traditional bank.

InCred's business is divided into three segments: 

InCred Finance - The lending division focuses on personal, educational, and small-to-medium enterprises. 

InCred Capital - An institutional platform that provides clients with wealth planning advice, as well as capital and advisory services.

InCred Money - A retail investment distribution-division that utilises innovative digital technology to distribute/invest the funds of consumers into a variety of asset classes.

InCred has grown rapidly by utilising data analytics and technology to improve its lending processes and enhance customer service. In addition, InCred has expanded through several strategic initiatives, including a merger with KKR India Financial Services, as well as entering new businesses (e.g., retail brokerage and gold-backed loans).

Financial Indicators and Performance

​While exact pricing for the IPO hasn't been set yet, there is already publicly available information about the company.

By FY25, their total assets under management (AUM) are estimated to be nearly ₹12,585 crore.

InCred Finance, the company's non-banking financial service lender, has disbursed more than ₹25,000 crore among over 400,000 customers.

In terms of financial indicators such as profitability, loan performance, and equity, the company is experiencing a steady growth trajectory.

According to previous filings and media tracking, in order to raise funds through an IPO, the company could potentially be looking at raising between ₹3,000 to ₹4,000 crore (or more) — although that will come after the company has announced details of the offer.

Peer Analysis

Incred Holdings tops the peer group with an EBITDA margin of 66%, demonstrating their high operating efficiency due to being technology-driven lenders. The company is the smallest of all four peers however, with revenue of ₹1,693 crore and PAT of ₹372 crore. 

Alternatively, Nuvama Wealth leads with the highest PAT margin of 34%, as well as in profitability with a PAT of ₹986 crore, while maintaining growth in wealth management. JM Financial leads all four firms in terms of revenue generated at ₹4,928 crore; their EBITDA margin is relatively moderate compared to the other firms at 36%.

Lastly, SMC Global falls behind its peers with the lowest EBITDA (24%) and PAT (8%) margins despite their respective revenue levels, showcasing Incred's relative advantages based on profitability per rupee of revenue, even though they are not the largest player amongst their peers.

Goals Of An IPO: Reasons To Go Public At This Time

An IPO has the potential to be game-changing for a company like InCred. Here are the major reasons for wanting to launch an IPO:

Raise New Capital - By conducting an IPO, there is likely to be new share issuance, which means that new capital will be raised to fund growth initiatives for the company.

Financing for Expansion - New capital allows the company to expand its lending activities, make more investments in technology, and enter into a product or service line that it does not currently serve (such as broking or wealth technology).

Enhanced Credibility - A public listing typically increases the ability for a company to find access to capital markets and gives the company a higher level of credibility than it would have had as a private company against larger banking institutions, as well as non-banking financial companies (NBFCs).

Liquidity Option For Investors - The IPO may also provide an opportunity for existing investors to sell their shares through the offer for sale (OFS) option and to dispose of a portion of their investments back to the market.

Future Prospects

The InCred IPO launch is part of a healthy primary market in India at this time. A wide variety of companies have received regulatory approvals from the appropriate governing authorities, and investor interest is strong.

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InCred may have an opportunity for growth following its IPO if it does well; this can include:

• Increased retail and SME (small and medium enterprise) lending

• Cross-selling between wealth-tech and advisory

• Increasing digital interaction with customers

However, as with any financial services entity, InCred will still have to deal with credit risk, changing regulations, and competition from both banks and fintech-type competitors.

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Conclusion

SEBI's approval of the IPO for InCred Holdings is a major milestone for Indian markets in 2026. It indicates a level of confidence in the InCred business model and also shows a broader, growing IPO (Initial Public Offering) pipeline. While no official pricing or date for the IPO has been released yet, the approval will provide an opportunity for InCred to generate capital to support future growth and to expand its current range of offerings.

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For investors and others who follow the financial markets in India, the InCred IPO will be worth watching closely since it offers an unusual and innovative approach toward more efficient and effective forms of lending and will also facilitate the expansion of that offering through other financial service channels.