Groww’s $1 Billion IPO: India’s Fintech Rocket Prepares for Liftoff!

India's top fintech and stockbroking platform Groww is preparing to make an initial public offering (IPO) of up to $1 billion, seeking a valuation of $7 billion to $8 billion. The IPO will hit markets by the end of 2025, with the company already in serious discussions with investment bankers and regulators.

 

Prior to the IPO, Groww has made a $150 million all-cash acquisition of Fisdom, a wealth management startup, adding to its product offerings and growth in the wealth management segment. The acquisition is one of the steps that Groww has taken in aggressively planning its growth as it goes public in a fluctuating market.

 

The firm has also secured $150 million of pre-IPO capital from Singapore's GIC, taking its post-money value to $7 billion. Further pre-IPO rounds are set to close shortly, which will further increase its war chest.

 

Groww has relocated its headquarters from the US to India so as to list the IPO on Indian exchanges, a step that follows regulatory needs and investor demands.

 

With more than 13 million active users, Groww has surpassed its big competitors such as Zerodha and Angel One, increasing its consolidated revenue more than two times to ₹3,145 crore in FY24. Though there was a one-time loss on account of domicile shift taxes, the firm is operationally profitable.

 

The IPO will be an offer-for-sale and fresh issue combination, with proceeds going towards expanding the business, increasing technology, and marketing.

 

Source: Moneycontrol, Business Standard, BusinessWorld, Groww Blog