Anand Rathi Share and Stock Brokers is set to launch its initial public offering (IPO) next week, with a total issue size of ₹745 crore. The public offer will open for subscription on September 23 at a price band of ₹393-414 per share. At the upper end of the price band, the valued of the stock broking firm is pegged at around ₹2,600 crore.

The IPO is entirely of a fresh issue, with no offer-for-sale component, as per the DRHP filed with the Sebi.

The three-day public issue of the Mumbai-based brokerage will close the IPO on September 25, while the one-day anchor book will open on September 22. The share allotment is expected to be finalised by September 26, while stock is expected to make its debut on the BSE and NSE on September 30.

As per the IPO document, the company has reserved 50% of the issue for qualified institutional buyers (QIBs), 35% for retail investors, and the remaining 15% for non-institutional investors (NIIs). The offer includes reservations for subscriptions by eligible employees.

Out of total IPO proceeds, the company intends to use ₹550 crore primarily towards long-term working capital requirements, and the balance amount is earmarked for general corporate purposes.

Anand Rathi is a full-service brokerage offering broking, margin trading facilities, and distribution of financial products under the Anand Rathi brand. As of March 31, 2025, the company operates through a network of 90 branches spread across 54 cities, 1,125 authorised persons across India, and online and digital platforms.

In terms of financial performance, revenue from operations rose from ₹4,67.83 crore in fiscal 2023 to ₹845.70 crore in fiscal 2025, representing a CAGR of 34.45%. Profit after tax rose from ₹3.77 crore to ₹103.60 crore over the same period, at a CAGR of 65.68%.

Anand Rathi reported the highest average revenue per client (ARPC) in fiscal 2025, according to CARE’s report cited in the DRHP. ARPC for fiscals 2023-25 ranged between ₹26,012 and ₹30,922.

As per the DRHP, the Indian broking industry is estimated at around ₹52,000 crore as of FY25 and is expected to grow at a CAGR of 16-18% over the next 2-3 years, driven by rising financial literacy and the lower cost of investing spurred by the rise of discount brokers. These trends are expected to continue supporting robust long-term growth.

The first quarter of FY26 also witnessed a surge in active clients on NSE, reaching 47.9 million, highlighting the ongoing participation of retail investors. Between FY20 and Q1FY26, NSE registered active clients grew at a CAGR of 32.8%, despite a marginal dip in FY23 due to inactivity among earlier onboarding cohorts.

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