Shiprocket, a leading e-commerce platform backed by Temasek, has filed updated draft papers with the market regulator, Sebi, to raise ₹2,342 crore through its initial public offering (IPO). This move is expected to boost the company's growth and expansion plans.
The public issue consists of a fresh issue of equity shares worth up to ₹1,100 crore and an offer for sale of ₹1,242.3 crore by the selling shareholders. The book-running lead managers for the public issue are Axis Capital, BofA Securities India, JM Financial, and Kotak Mahindra Capital Company. The shares are proposed to be listed on BSE and NSE.
According to the updated draft red herring prospectus (UDRHP), Shiprocket plans to use the funds to support the growth of its platforms by investing in marketing initiatives and enhancing its technology infrastructure. The company also plans to use the funds to repay or prepay certain debts and their associated interest, as well as for inorganic growth through potential acquisitions and general corporate needs.
Shiprocket has transitioned from a shipping service to a comprehensive e-commerce platform that supports direct-to-consumer (D2C) brands and MSMEs. The company operates through two segments: Core Business and Emerging Business. The Core Business includes its domestic shipping platform and associated apps, offering multi-modal transportation, AI-driven logistics planning, and tools for order management and tracking.
Shiprocket's revenue from its core business increased by over 20% year-on-year to ₹1,306 crore. The company's emerging businesses division, including marketing and automation, expanded 41% in FY25 to ₹326 crore, making up 20% of the total revenue.
Shiprocket is backed by investors such as Temasek and Eternal. The company submitted its draft IPO documents to Sebi via the confidential route in May and received approval in November to go public. Shiprocket might consider a pre-IPO placement of up to ₹220 crore, which could modify the size of the new issue.
As an investor, it's essential to do your research and consult with certified experts before making any investment decisions. E-commerce, logistics, and digital transformation are key trends to watch in the industry.
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