IIFL Finance shares plunged 9% today; here's why

Shares of IIFL Finance Ltd plunged 9 per cent in Tuesday's trade after the NBFC said Bharat Aggarwal, designated as SMP, has resigned from the position of Business Head for unsecured lending of the company effective, January 27, closure of business hours. The stock was also in news amid rumours the investigation wing of income tax department was conducting searches on IIFL group since morning. 

IIFL Finance shares fell 8.72 per cent to hit a low of Rs 325.95 on BSE. The stock is down 21 per cent in 2025 so far and 45 per cent in the past one year. 

IIFL Finance recently appointed Rupesh Samani as Head-Legal of the company with effect from January 23. Recebtly, IIFL Finance successfully raised $325 million through a Fixed Rate Senior Secured Bond, priced at a competitive coupon rate of 8.75 epr cent with a door-to-door tenor of 3.5 years.

This issuance marked IIFL’s re-entry into the international bond markets after its debut offering in February 2020, further diversifying its borrowing profile. The proceeds from this issuance would be used for onward lending, as per the External Commercial Borrowing (ECB) Guidelines by the Reserve Bank of India (RBI).

For the December quarter, MOFSL expects IIFL Finance to report gold loan asset under management (AUM) growth of 44 per cent sequentially at Rs 15,500 crore. It expects MFI business disbursements will be weaker than last quarter and MFI credit costs will be elevated. It sees the profit after tax for IIFL Finance at Rs 200 crore in Q3 against a loss of
Rs 160 crore in Q2, which included an exceptional loss of Rs 590 crore.

The outlook on the gold loan business, loan growth, and margins would be key monitorables, MOFSL said in its preview note.