On Tuesday, November 4, Groww-parent Billionbrains Garbage Ventures is set to launch its IPO. The shares will be available at a price range of Rs 95-100 each, with investors able to apply until Friday, November 7. Initially, the company aims to issue around 150 equity shares, with potential for further growth.
Groww is an eight-year-old fintech company based in Bengaluru. It is a digital investment platform offering wealth creation opportunities and a platform to invest in mutual funds, stocks, F&O, ETFs, IPOs, digital gold, and US stocks through various financial products and services.
The company is looking to raise a total of Rs 6,632.3 crore via the IPO route and via fresh issuance; it aims to raise Rs 1,060 crore. Existing investors are to offload 55,72,30,051 equity shares from their stake, amounting to Rs 5,572.30 crore.
Investors in the sale include Peak VI Partner Investments, YC Holdings II, Ribbit Capital V, GW-E Ribbit Opportunity V, Internet Fund VI, Kauffman Fellows Fund, Alkeon Innovation Master Fund, Propel Venture Partners, and Sequoia Capital Global Growth Fund III.
Groww is becoming one of the largest brokerage firms by user base, and its mobile app is popular among mutual fund investors. Additionally, it offers value-added services, including the Margin Trading Facility (MTF), algorithmic trading, and New Fund Offers (NFOs).
With revenue of Rs. 948.47 crore, Groww reported a profit of Rs. 378.37, resulting in a net profit of Rs. 1,824.37 crore, following its listing in the bottom line in FY24. Groww reserved 75% of the net issue for QIBs, 15% for non-institutional investors, and 10% for retail investors. The company has a grey market premium of Rs 10, indicating a 10% upside over the upper price band.
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MUFG Intime India has been selected as the registrar for the issue. The lead managers for the IPO registration are Kotak Mahindra Capital Company, JP Morgan India, Citigroup Global, Axis Capital, and Motilal Oswal Financial Services. Till November 14, shares of both companies will be listed on both the NSE and the BSE.
