ABHI IPO Raises Rs2.05 Billion at Rs15.50 a Share
The ABHI IPO has been priced at Rs15.50 a share, raising a total of Rs2.046 billion on the Pakistan Stock Exchange after book-building drew bids well past the shares on offer.
The two-day book-building round on November 5 and 6 sold 99 million shares to corporate, institutional and high-net-worth investors, mobilising Rs1.534 billion. Bids came in for 157.17 million shares against the 99 million on offer, leaving the round oversubscribed by about 59 percent.
The remaining 33 million shares will go to the general public at the strike price on November 12 and 13, raising another Rs511.5 million. Together, the two tranches make up the full 132 million-share offering, which represents 13.65 percent of the bank’s post-IPO paid-up capital.
How the ABHI IPO was priced
The bank had set a floor price of Rs15 a share, with the price band allowing bids to rise by up to 50 percent to a maximum of Rs22.50. The final strike price of Rs15.50 sits 3.33 percent above the floor, a modest rise that reflects steady rather than heated demand.
At the floor price, the bank would have raised gross proceeds of about Rs1.98 billion. At the ceiling, proceeds could have approached Rs2.97 billion. The final figure of Rs2.046 billion lands near the bottom of the Rs2 billion to Rs3 billion range the bank had set for the offering.
The company said the book build is Pakistan’s first fintech-led microfinance bank IPO. It reported bids of more than Rs2.4 billion, with strong interest from foreign funds, local institutions and high-net-worth investors. Topline Securities acted as joint lead consultant. The retail portion is fully underwritten by Arif Habib Limited, Topline Securities, Growth Securities and Dawood Equities.
What the bank plans to do with the money
ABHI has said the proceeds will expand its loan book and strengthen its capital base. That second aim matters more than the first. The bank’s capital adequacy ratio stood at negative 6.26 percent at the end of June 2026, far below the State Bank of Pakistan’s 15 percent minimum for microfinance banks.
The bank projects the IPO injection will lift its capital adequacy ratio to 7.31 percent by the end of 2026. That would still leave it below the regulatory minimum, but it would mark a sharp improvement from a negative position. Investors will watch whether the bank can close the remaining gap from its own earnings.
The bank has continued to report profits in 2026. Its prospectus reports a net profit of Rs1.501 billion for the first half of the year, and management estimates a profit of about Rs1.43 billion in the second half, taking the projected full-year profit to around Rs2.927 billion. Those forecasts are management estimates, not guaranteed results.
A busy year for PSX listings
The ABHI IPO lands in the busiest listing year in PSX history, and it follows the plan ABHI announced in October to raise Rs2 billion to Rs3 billion through the offering. The final price and the level of demand give the market a read on appetite for smaller financial-sector listings.
The wider market has had a mixed week. The KSE-100 index dropped 1,494 points by midday on Friday, and short-term inflation has climbed, with weekly inflation reaching 12.31 percent on costly food and LPG. Against that backdrop, an oversubscribed book build is a small vote of confidence in the bank’s story.
The macro picture also frames the deal. Pakistan’s trade deficit widened 16 percent to $14.6 billion in the first four months of the fiscal year, which keeps pressure on the rupee and on interest rates. For a microfinance lender, rates and the cost of funds shape margins directly, so the bank’s ability to grow its loan book at a profit will depend on conditions beyond its control.
Retail investors get their turn on November 12 and 13. If the public tranche is taken up in full, ABHI will have raised the full Rs2.046 billion and joined the PSX as Pakistan’s first fintech-led microfinance bank.
How much did the ABHI IPO raise?
ABHI Microfinance Bank raised a total of Rs2.046 billion through its IPO at a strike price of Rs15.50 a share. Book-building sold 99 million shares for Rs1.534 billion, and a further 33 million shares go to the public on November 12 and 13.
How oversubscribed was the ABHI IPO?
Bids came in for 157.17 million shares against 99 million offered in book-building, oversubscribing the round by about 59 percent. The company reported total bids of more than Rs2.4 billion.
When can the public buy ABHI shares?
The remaining 33 million shares will be offered to general investors at Rs15.50 a share on November 12 and 13, 2026.
What is ABHI Microfinance Bank?
ABHI is Pakistan’s first fintech-led microfinance bank. The IPO is the first fintech-led microfinance bank listing on the Pakistan Stock Exchange, and the bank plans to use the proceeds to expand its loan book and strengthen its capital base.
