New Delhi: As online investment platform Groww prepares to go public, it has drawn strong interest from large global investors. Sovereign wealth funds from Singapore, Abu Dhabi, Norway and other regions are among roughly 40 major institutions expected to participate in the anchor-book round ahead of the IPO.
Groww is readying an initial public offering that aims to raise nearly Rs 7,000 crore through a mix of fresh shares and an offer-for-sale by existing shareholders. Two people familiar with the matter say that in the anchor round, high-profile global funds are set to put money in, signalling significant confidence in the company.
The company’s recent funding rounds already reflect this momentum: Singapore’s sovereign fund GIC Pte Ltd made a strategic investment that placed Groww’s valuation at about USD 7 billion. The planned IPO will provide existing investors such as venture-capital firms an exit route while giving Groww fresh capital to expand its business.
Groww has grown rapidly: revenues rose about 31 percent in the latest fiscal year and its profit jumped over three-times compared to the year before. While the company still has an offer-for-sale component of about Rs 5,000-6,000 crore, the fresh issue is modest (about Rs 1,060 crore) and is intended mainly for growth of business lines such as margin trading, unsecured lending and wealth-management services.
For Indian retail investors, this IPO is significant. Participation by top global funds in the anchor round often lends credibility and may generate wider interest when the issue opens to public subscription. That said, the performance of the IPO-listing will depend on market sentiment, valuation discipline and long-term growth execution.
Disclaimer : This story is auto aggregated by a computer programme and has not been created or edited by DOWNTHENEWS. Publisher: ZEE News
