Zerodha-rival Groww is planning an IPO at $8B valuation
What's the story
Billionbrains Garage Ventures, the parent company of financial services platform Groww Invest Tech, is gearing up for an IPO this year. The Bengaluru-based firm has appointed JPMorgan Chase and Kotak Mahindra Bank to handle its IPO. The company could target a valuation between $7 billion and $8 billion through this IPO, sources familiar with the matter told the Economic Times.
Expectations
Groww's IPO could raise $750M or more
The IPO is likely to raise at least $750 million for Billionbrains Garage. However, plans are still in their infancy and details like size and timing could change. There is also a chance that other banks could be brought on board to execute the deal.
Company profile
Groww's market position and investor base
Founded in 2016 by four ex-Flipkart colleagues, Groww is a platform that makes investing in financial products easy. The company is backed by notable personalities and firms including Microsoft CEO Satya Nadella, Ribbit Capital, and Tiger Global. Rating agency ICRA noted Billionbrains Garage's strong market position owing to Groww's emergence as one of India's leading discount brokers since 2022.
Market overview
India's IPO market witnessed a surge in 2024
India's IPO market saw a massive boom in 2024, raising over $20 billion. This included a listing by Hyundai Motor Company's local unit, making India the world's second-busiest market after the US. Other big names such as LG Electronics and Apollo Global Management are also eyeing IPOs for their Indian operations, underscoring the growing momentum in the space.