Airtel Money shares opened 2% higher at 200 pence on their first day of trading on the London Stock Exchange, but the African digital financial services platform's $7 billion valuation fell short of the company's earlier ambitions.
The stock rose 2% to 200 pence ($2.65) at the open. The offering involved the sale of 270 million shares by existing shareholders to investors at 1.96 pounds per share, implying a valuation of 5.29 billion pounds, or roughly $7 billion, with the shares sold representing 10% of the company's total equity.
A person familiar with the deal said in September that the company had originally targeted a valuation range of $8 billion to $9 billion.
Major shareholder Airtel Africa said on Friday that it intends to continue holding its stake in Airtel Money for the long term.
In the fiscal year ended in March, Airtel Money generated earnings before interest, tax, depreciation and amortisation of $676 million, with 53 million monthly active users.
The business operates across 13 markets in sub-Saharan Africa, a region where traditional banking infrastructure is relatively underdeveloped.
The listing is welcome news for the London Stock Exchange.
The LSE has been grappling with a drought of new listings, alongside a wave of takeover deals and delistings, as a string of well-known companies have departed.
Over the summer, APO Group agreed to acquire British budget carrier EasyJet after a lengthy bidding battle.
Meanwhile, Flutter Entertainment, which owns brands including FanDuel, PokerStars and Paddy Power, withdrew its London listing and made New York its primary listing venue.
In May, money transfer company Wise moved its primary listing to New York, retaining only a secondary listing in London.
In March, leasing company Sunbelt cancelled its primary listing on the London main market, switching to the New York Stock Exchange and adopting the brand name of its US business, Sunbelt Rentals.
The UK government has introduced a series of reforms to boost London's competitiveness as a listing venue, including lowering the mandatory public shareholding threshold for companies, allowing founders to retain larger equity stakes, while also simplifying listing requirements and approval processes.