OnEMI Technology Solutions Limited IPO: Check Date, Price, Review, Details

Introduction to OnEMI Technology IPO:

OnEMI Technology Solutions Limited was incorporated on 18 June 2016 as a private limited company and later converted into a public limited company in June 2025. A certificate of incorporation was issued on 8 July 2025. The company operates under its flagship brand “Kissht”, which is a technology-driven lending platform focused on providing fast and personalized credit solutions to India’s mass-market customers.

The company runs a proprietary, cloud-native and AI-powered digital platform that manages the entire loan lifecycle, from customer acquisition to underwriting, disbursement and collections. Its business model is built on two core pillars. First, an omni-channel customer acquisition strategy, where it sources customers through digital marketing (45.51%), merchant partnerships (23.28%), e-commerce platforms and aggregators (7.51%), and organic channels such as word-of-mouth (23.70%). Second, a balanced liability profile, where the company funds loans through a mix of on-book (own balance sheet) and off-book (partner-funded) arrangements, enabling better risk management and capital efficiency.

OnEMI generates revenue primarily from interest income, servicing fees, and commission income, along with other charges such as late payment and foreclosure fees. The company offers a diversified product suite, including unsecured personal loans of up to Rs 0.5 million and secured loans against property (LAP) of up to Rs 3.0 million, catering to both salaried individuals and MSMEs. It also distributes non-lending products such as health insurance, digital gold, and fixed deposits.

The company has a pan-India digital presence for personal loans, while its LAP segment is supported by 82 branches across multiple states, with its headquarters located in Mumbai, Maharashtra. 

IPO Details:

Objectives of Issue:

Strengthening Lending Capacity:
A major portion of the proceeds (around Rs 6,375 million) will be infused into its wholly-owned subsidiary, Si Creva Capital Services Private Limited. This will support future loan disbursements and help maintain compliance with RBI capital adequacy norms as the business scales up.

General Corporate Purposes:
The remaining funds will be utilized for business expansion and operational needs, including capital expenditure, investment in technology and IT infrastructure, and other administrative expenses.

Offer for Sale and Listing Benefits:
The offer also includes an Offer for Sale (OFS) of up to 4,439,788 shares by existing shareholders, with no proceeds going to the company. Additionally, the listing on BSE and NSE is expected to enhance brand visibility and create a public market for its equity shares.

Key Strengths:

• Diversified Customer Acquisition with Strong Brand Recall
  The company has built a large and growing user base, with 63.73 million registered users and 11.17 million customers served as of December 2025. It follows an omni-channel model, sourcing customers through digital marketing, merchant partnerships, e-commerce platforms, and organic channels. Its strong offline-to-online merchant network and brand association with Sachin Ramesh Tendulkar enhance trust and visibility.
• Advanced Risk Management Framework
  OnEMI uses a data-driven approach supported by AI and ML models trained on large datasets. Its underwriting system uses multiple variables to enable fast loan approvals. The company also has early warning systems to manage risks in real time, resulting in strong asset quality and low NPAs compared to peers.
• Diversified and Scalable Funding Model
  The company follows a balanced liability strategy, combining on-book and off-book lending. Partnerships with banks and NBFCs enable asset-light growth. It maintains a healthy capital adequacy ratio and moderate leverage, supporting future expansion.
• Robust Technology Platform
  Its cloud-based platform manages the full loan lifecycle through in-house systems. The platform delivers high uptime and fast response time, ensuring smooth customer experience. Continuous upgrades, including AI integration, support scalability.
• Strong Financial Growth and Market Opportunity
  The company has delivered strong growth in AUM and profitability, with high returns on assets and equity. It focuses on India’s growing middle-income segment, which offers a large long-term credit opportunity.

Risks:

Portfolio and Asset Quality Risks
High Concentration of Unsecured Loans: As of 31 December 2025, 94.23% of the total AUM consists of unsecured personal loans. These loans carry a higher risk profile due to the absence of collateral, leading to potentially elevated credit losses compared to secured lending.

Rising GNPA Levels: The company’s Gross Non-Performing Assets (GNPA) increased from 0.05% in Fiscal 2023 to 2.90% as of 31 December 2025. Failure to effectively control these levels or maintain adequate provisioning could materially impact profitability.

Exposure to High-Risk Borrowers: The target mass-market segment often comprises individuals who are economically less stable than large corporates, making the company vulnerable to systemic borrower-level risks and overleveraging.

Regulatory Overhang

The subsidiary, Si Creva, has faced observations from the RBI during inspections, including gaps in policy implementation and concerns around classification of NPAs. Such regulatory findings create an overhang on the business and may lead to stricter supervision or compliance costs going forward.

Lower Credit Rating and Higher Cost of Funds

The company has a relatively lower credit rating compared to listed peers, which affects its borrowing cost. While leading players like Bajaj Finance, SBI Cards and Payment Services, and Cholamandalam Investment and Finance Company enjoy higher ratings, the company’s lower rating results in higher cost of funds, which can put pressure on margins and profitability.

Financial Snapshot

Conclusion

OnEMI Technology Solutions (Kissht) operates in a fast-growing digital lending space, where its fully online model and omni-channel sourcing provide strong scalability. The company’s focus on small-ticket personal loans allows it to tap a large underserved segment, driving rapid customer addition and AUM growth. Its technology-driven platform, diversified acquisition channels, and asset-light funding approach support long-term expansion.

However, the business carries key risks that cannot be ignored. A high share of unsecured lending exposes it to rising credit costs, as reflected in the increase in NPAs. In addition, regulatory observations on its subsidiary create an overhang, while its relatively lower credit rating leads to a higher cost of funds compared to established peers. Operational challenges such as negative cash flows and dependency on partners also remain concerns.

While the valuation appears reasonable, it largely factors in these risks. The growth outlook remains strong, but execution and asset quality will be critical. Hence, the issue may suit investors with a cautious and long-term perspective, rather than aggressive short-term positioning.