ABHI Microfinance Bank Limited has completed the book-building phase of its initial public offering (IPO), with the offering oversubscribed 1.6 times and closing at a strike price of PKR 15.50 per share. The process raised PKR 2.05 billion, according to information shared by Topline Securities, which is acting as the Joint Lead Consultant for the issue. The outcome marks a key stage in the bank’s planned listing on the Pakistan Stock Exchange (PSX), following investor registration and bidding conducted on November 5 and 6, 2026. ABHI Microfinance Bank thanked foreign funds, local institutions and high-net-worth investors for participating in the offering and supporting the transaction. The final strike price of PKR 15.50 is slightly above the announced floor price of PKR 15 per share, while remaining below the upper end of the original bidding range of PKR 22.50. The 1.6-times subscription indicates that demand during book building exceeded the shares available in that portion of the offering. The next stage is the public subscription scheduled for November 12 and 13, 2026, with 25% of the total issue reserved for general public investors.
The IPO comprises 132 million ordinary shares, representing 13.65% of the bank’s post-offering paid-up capital. Under the offering structure, 75% of the shares, equivalent to 99 million shares, were allocated to the book-building portion for eligible institutional investors and high-net-worth individuals, while the remaining 33 million shares have been reserved for retail and general public participation. The final strike price established through book building provides the pricing reference for the subsequent public subscription process, subject to the approved offering documents and applicable procedures. Arif Habib Limited, Topline Securities Limited and Growth Securities are serving as joint lead managers, while the transaction also involves underwriting arrangements with Dawood Equities. The bank had initially announced a price range of PKR 15 to PKR 22.50 per share, placing the potential issue size between PKR 1.98 billion and PKR 2.97 billion depending on the final price. With book building now completed at PKR 15.50, the process has established the price for the next stage of the offering. Retail investors interested in participating will need to follow the official subscription instructions and eligibility requirements provided by the bank and relevant market institutions.
The public offering follows a period of financial recovery and expansion for ABHI Microfinance Bank after its acquisition by ABHI (Private) Limited and TPL Corp Limited in January 2025. The bank’s financial disclosures show that it moved from a net loss of approximately PKR 1.75 billion in 2024 to a net profit of PKR 1.02 billion in 2025, followed by a profit after tax of approximately PKR 1.5 billion during the first half of 2026. Its shareholders’ equity also improved from a negative position in December 2024 to approximately PKR 3.1 billion by June 2026. Digital lending has formed another part of the bank’s expansion strategy. ABHI Microfinance Bank previously reported PKR 13 billion in digital loan disbursements between January 2025 and October 2026, alongside a growing digital gross loan portfolio. Its wider lending operations include technology-enabled financing and gold-backed lending, which accounts for a substantial share of its earning assets. The IPO prospectus identifies capital improvement and expansion of lending operations among the purposes of the offering. The bank has also outlined plans to improve its capital adequacy position, which remained below the State Bank of Pakistan’s minimum requirement in June 2026. Investors will therefore be assessing the offering in the context of both the bank’s reported financial recovery and its remaining regulatory capital requirements.
The completion of book building moves ABHI Microfinance Bank closer to its planned public listing and provides an opportunity for retail investors to participate in the offering. The general public subscription is scheduled for November 12–13, 2026, with one-quarter of the total shares reserved for this segment. The final outcome of the IPO will depend on the public subscription process and the completion of the applicable listing procedures. The transaction also brings a fintech-led microfinance banking business further into Pakistan’s public capital market, giving investors an opportunity to evaluate its lending model, financial performance, digital operations and expansion plans. However, the oversubscription figure relates specifically to the book-building portion and should not be interpreted as the result of the entire IPO or as a guarantee of future share performance. Prospective investors should review the approved prospectus, understand the bank’s financial position and regulatory requirements, and consider the risks associated with investing in listed securities before submitting applications. With book building concluded at PKR 15.50 per share and PKR 2.05 billion raised through the process, attention now shifts to the public subscription scheduled for November 12 and 13.
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