Markets regulator SEBI has approved the initial public offering (IPO) of lending technology startup Fibe, formerly known as EarlySalary, according to inc42.com. The company’s parent, Social Worth Technologies Ltd, received final observations from SEBI, allowing it to proceed with the public issue. The IPO will include a fresh share issuance worth up to ₹750 crore and an offer-for-sale (OFS) of more than 4 crore equity shares.
Fibe filed its draft red herring prospectus (DRHP) in June this year. The offer-for-sale will see major investors such as TPG, Norwest Capital, and Eight Roads Ventures offload significant stakes. TPG plans to sell up to 1.17 crore shares through its investment arm The Rise Fund III SF Pte Ltd. Other investors including Piramal Finance, TR Capital, IDG Ventures, and Chiratae Ventures will also reduce their holdings. The startup intends to invest ₹562.6 crore from the fresh issue proceeds into its NBFC subsidiary, EarlySalary Services Pvt Ltd, over the next two fiscal years.
This IPO marks a key liquidity event for Fibe’s investors and reflects growing investor interest in fintech lending platforms in India. Comparable deals in the sector have attracted significant capital as digital lending gains traction. The infusion will strengthen the subsidiary’s capital base and support its lending operations, positioning Fibe to expand its market presence amid increasing demand for digital credit solutions.
Fibe may also raise up to ₹150 crore through a pre-IPO placement, the company disclosed. The fresh capital will be partly allocated for general corporate purposes beyond the subsidiary investment. The final observation from SEBI was issued today, enabling the company to finalize its IPO timeline and proceed with the public offering.