MobiKwik has received approval from markets regulator Securities and Exchange Board of India (SEBI) to launch an initial public offering (IPO) through which it plans to raise up to ₹1,900 crore, reports suggest.
It is expected to launch its IPO before Diwali (November 4) and is likely to fetch a valuation of $1 billion, source
The Gurgaon-based company had filed the Draft Red Herring Prospectus (DRHP) for the Initial Public Offering (IPO) with Sebi in July. The company was last valued at around $700 million in its previous funding round in April.
The company intends to raise up to Rs 1,500 crore through primary issuance of shares while stakeholders will sell shares worth Rs 400 crore including Sequoia Capital, Bajaj Finance, American Express Travel Related Services, Cisco Systems, Tree Line Asia, and promoters Upasana Taku and Bipin Preet Singh.
It will use the net proceeds from the IPO for funding organic and inorganic growth initiatives and for general corporate purposes
MobiKwik is among a growing list of consumer internet firms, including Paytm, Nykaa and PolicyBazaar that are eyeing stock market debuts this year. Food-delivery platform Zomato kickstarted the IPO boom among Indian consumer startups when it made a stellar debut in the Indian public markets in July.
MobiKwik defines itself as a fintech company providing payment solutions through mobile wallets and Buy Now Pay Later (BNPL) channel. It was founded in 2009.
Categories: Venture Capital