IIFL Finance, a leading non-banking financial company specializing in retail credit, has recently seen a significant rebound in its shares after a sell-off caused by RBI restrictions on gold loan disbursements. Over the last four trading sessions, the stock has surged by 23%, marking a remarkable recovery from its March low. Currently trading at ₹435.65 apiece, the shares have appreciated by 39% since hitting their low point.
The resurgence in IIFL Finance shares can be attributed to positive developments such as the revision of the price band limit, which was increased to 20%, and the company’s approval to acquire equity shares worth ₹284.40 crore from FIH Mauritius Investments. Despite the significant rebound, the shares are still trading 38% lower than their peak of ₹704 per share. Furthermore, the company successfully raised ₹500 crore through non-convertible bonds as part of its plan to raise ₹2,000 crore, enhancing its financial standing.
As a prominent RBI-regulated NBFC specializing in retail credit, IIFL Finance plays a key role in providing small-ticket gold, home, and business loans, with loan assets totaling around ₹78,000 crores. The company’s gold loan assets under management reached ₹24,692 crore as of December 31, 2023, representing 32% of its total loan assets. With a strong focus on diverse customer segments, including salaried individuals, self-employed professionals, and MSMEs, IIFL Finance continues to showcase resilience and growth in the financial sector.
