Penny stock under Rs 50: Paisalo Digital Ltd’s promoter shareholding increased to 41.75%, following a series of open-market acquisitions

The sustained increase in promoter shareholding at Paisalo is a powerful testament to their commitment and conviction in the company's long-term success and growth trajectory. This strong belief has been consistently demonstrated through a pattern of open-market acquisitions, particularly during periods of market dips, effectively reinforcing their alignment with the company's strategic vision and signalling deep confidence in its core fundamentals. Reflecting this steady commitment, promoter ownership has shown significant growth over recent years, rising from approximately 26% in FY19 to about 37 per cent in FY25, and notably increasing further to 41.75 per cent in the current fiscal year.

This escalating stake underscores the promoter group’s continued confidence in Paisalo’s robust business model, strong governance practices, and effective execution capabilities. Their investment firmly supports the company's core mission of driving responsible, tech-enabled credit delivery, which targets crucial segments of the Indian economy, including MSMEs, micro-enterprises, and underserved borrowers across Bharat. This significant ownership increase is thus viewed as a strong internal endorsement of the company's performance and future prospects.

About the Company

Paisalo Digital Limited is engaged in the business of providing convenient and easy loans to the financially excluded at the bottom of India's economic pyramid. The company has a wide geographic reach, with a network of 4,380 touchpoints across 22 states & UTs in India. The company’s mission is to simplify small-ticket size income generation loans by establishing ourselves as a trusted, high-tech, high-touch financial companion for the people of India.

The company reported strong financial growth for the quarter ending September 30, 2025. The company's Assets Under Management (AUM) demonstrated robust growth, increasing 20 per cent year-over-year (YoY) to Rs 5,449.40 crore. This growth was supported by a significant increase in disbursements of 41 per cent YoY to Rs 1,102.50 crore. Overall, the company's Total Income grew by 20 per cent YoY to Rs 224 crore, with Net Interest Income (NII) rising by 15 per cent YoY to Rs 126.20 crore. The expansion efforts are evident in the increased geographical reach, which grew to 4,380 touchpoints across 22 states, and the customer franchise expanded to a record of approximately 13 million, adding about 1.8 million customers during the quarter. The company also saw USD 4 million of its maiden $50 Mn Foreign Currency Convertible Bond (FCCB) converted into share capital during the quarter.

The company maintained a stable and healthy asset quality, with Gross Non-Performing Assets (GNPA) standing at a low 0.81 per cent and Net Non-Performing Assets (NNPA) at 0.65 per cent. This stable asset quality is complemented by a strong collection efficiency of 98.4 per cent for the quarter. Furthermore, Paisalo Digital's financial position remains robust, highlighted by a Capital Adequacy Ratio of 38.2 per cent (with Tier 1 capital at 30.3 per cent), which significantly exceeds regulatory requirements. The Net Worth also saw a substantial increase, growing 19 per cent YoY to Rs 1,679.90 crore. These results underscore Paisalo Digital's effective strategy in leveraging its digital capabilities and three decades of experience to achieve sustainable, high-growth lending to the financially excluded while maintaining strict control over asset quality and capital strength.

This integration of High Tech: High Touch, a customer-centric approach, and data analytics empowers Paisalo to deliver tailored, scalable solutions while minimising risks and maintaining the highest standards of governance and regulatory adherence. The stock is up 30 per cent from its 52-week low of Rs 29.40 per share. As of September 2025, SBI Life Insurance Co. Ltd owns a 6.83 per cent stake.

Disclaimer: The article is for informational purposes only and not investment advice.