Pakistan’s fintech company Abhi is preparing to launch an initial public offering (IPO) for Abhi Microfinance Bank later this month. The bank aims to raise between Rs. 2 billion and Rs. 3 billion through the share offering.
The planned IPO reflects the growing interest in Pakistan’s financial technology sector. Moreover, the move comes during a strong period for Pakistan’s stock market, where increased investor participation has encouraged more companies to enter the capital market.
According to Omair Ansari, sponsor and director of Abhi Microfinance Bank, the lender plans to offer around 14 percent of its shares during the IPO. The funds raised through the offering will support the bank’s capital position and future growth plans.
IPO Aims to Strengthen Bank’s Financial Position
The proceeds from the IPO will help improve the bank’s capital base. As a result, Abhi Microfinance Bank expects its capital buffer to remain above the minimum regulatory requirement set by the State Bank of Pakistan by next year.
Pakistan has witnessed a record year for IPO activity, with 10 companies raising Rs. 19.8 billion so far. Furthermore, the stock market rally and rising retail investor participation have increased demand for new investment opportunities.
To manage the transaction, Abhi has appointed Arif Habib Limited, Topline Securities, and Growth Securities as financial advisers. Additionally, the company conducted a roadshow in London to attract interest from local, frontier, and emerging market investors.
Abhi Expands Digital Banking Operations
Abhi Pvt. currently owns nearly 75 percent of Abhi Microfinance Bank, while TPL Corp. holds the remaining stake. The fintech company acquired the lender, previously known as FINCA Microfinance Bank, around 18 months ago.
Since the acquisition, Abhi has focused on transforming the bank’s operations through digital technology. The company has also worked on restructuring its branch network by closing loss-making locations.
According to Ansari, the bank experienced a major financial turnaround after the acquisition. He stated that the lender moved from annual losses of up to $5 million before the acquisition to generating more than $3.5 million in profit during its first year under new ownership.
Future Plans Include Gold Lending and Digital Payments
Abhi Microfinance Bank expects further growth in the coming years. According to company officials, the bank is targeting earnings of around $10 million this year as it continues expanding its services.
Furthermore, the lender plans to introduce gold-backed lending products. The company is also exploring a license that would allow it to tokenize gold as part of its future financial solutions.
In addition, Abhi Microfinance is evaluating the development of a crypto payments corridor connecting customers in Pakistan and the Middle East. Through these initiatives, the bank aims to strengthen its position in Pakistan’s evolving digital finance landscape.
The upcoming IPO highlights the increasing role of fintech companies in Pakistan’s financial sector. Moreover, it demonstrates how digital banking platforms are seeking new investment opportunities to support long-term expansion and innovation.
