Gaja Capital prices ₹550 crore IPO at ₹152-160 per share
Gaja Capital has priced its ₹550 crore public issue at up to ₹160 per share, testing market appetite for India's alternative asset management sector after posting robust profit growth.
Gaja Alternative Asset Management has set a price band of ₹152 to ₹160 per share for its initial public offering. The issue, scheduled to open for subscription on August 19 and close on August 21, comprises a fresh issue of ₹450 crore alongside an offer-for-sale of ₹100 crore by existing shareholders, including promoters.
The company, promoted by Gopal Jain, has visibly calibrated its fundraise to current market conditions. The total offering size of ₹550 crore represents a reduction from the ₹656.2 crore target outlined in an updated draft red herring prospectus filed in December. At the upper end of the revised price band, the firm is expected to command a post-listing market capitalisation of ₹2,256.16 crore. Shares are slated to list on both the BSE and NSE on August 26.
The capital deployment strategy provides a window into how domestic alternative asset managers are leveraging equity markets. Gaja Capital plans to use ₹372 crore of the net fresh issue proceeds specifically for sponsor commitments to existing and new funds, as well as to repay a bridge loan. The remainder will go to general corporate purposes. For market participants, this structure underscores a broader trend of private capital managers tapping public markets to secure permanent capital for their underlying investment vehicles.
The public listing is backed by strong financial momentum. For FY26, Gaja Capital reported a 33.8% year-on-year increase in profit, reaching ₹79.6 crore. This earnings growth significantly outpaced its operating revenue, which rose 11% to ₹135.5 crore. Total income climbed 28% to ₹157.8 crore. These figures reflect the fee-generation capabilities of a firm managing India-focused Category I and Category II alternative investment funds, alongside advisory mandates for offshore capital.
Prior to the offering, promoters retain a controlling 71.03% stake in the business. The existing public shareholder base already features prominent institutional names, including HDFC Life Insurance, SBI Life Insurance, and Wealthwave Capital. This established institutional backing may provide a degree of confidence for the bookrunners, JM Financial and IIFL Financial Services, as they build the order book.
The IPO reserves up to 50% of the shares for qualified institutional buyers, with a minimum of 15% for non-institutional investors and 35% for retail investors. The lot size is fixed at 93 equity shares. Anchor allocation is set for August 18, with basis of allotment finalisation expected on August 24. Refunds and share crediting will follow on August 25.
