Groww plans confidential IPO filing within two weeks
Summary
The move comes days after a GIC arm sought CCI nod to invest in the online stock trading platform at a $7 billion valuation
Online stock trading platform Groww will file a confidential draft red herring prospectus (DRHP) within the next two weeks for going public, according to a person familiar with the matter.
The plan comes days after Viggo Investment Pte. Ltd., an investment entity of Singapore’s sovereign wealth fund GIC, approached the Competition Commission of India (CCI) for approval to acquire a 2.143% stake in Groww, according to a filing with the regulator that Mint has reviewed. In the filing, the investor stated that the transaction is not expected to alter the competitive landscape.
Also read | IPO-bound Groww issues bonus shares to Peak XV, Ribbit, other existing investors
Post the funding from GIC, the company is expected to be valued at $7 billion, the person quoted above told Mint on the condition of anonymity.
In October 2021, Groww announced a $251 million series E round at a $3 billion valuation. The company has raised a total of $393.3 million in funding so far.
Comment awaited
Groww has declined to comment on Mint's queries.
For its initial public offering (IPO), the stock trading platform has picked banks including JPMorgan Chase & Co. and Kotak Mahindra Bank Ltd. In March, IPO-bound Groww issued compulsorily convertible preference shares as bonus to existing investors, including Peak XV and Ribbit, Mint reported.
Groww was founded in 2016, and the process to move its base from Delaware began two years ago. The company relocated its parent entity, Groww Inc, from Delaware, US to Bengaluru, effectively making Groww's primary Indian company, Billionbrains Garage Ventures, the parent firm.
Also read | Groww IPO: Fintech gears up to go public, picks JPMorgan, Kotak as banker
With this, Groww joins the fray of Indian startups like electronics brand BoAt, and edtech company Physics Wallah that have filed for an IPO through the confidential route. Food delivery platform Swiggy, which listed on the bourses back in November, also filed a confidential DRHP.
