Shadowfax Files Confidential IPO Papers to Raise ₹2,500 cr
In a significant development, Flipkart-backed Shadowfax, a leading logistics startup, has filed a confidential draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to raise ₹2,000-2,500 crore through a mix of fresh issue and offer for sale (OFS). The Bengaluru-based company aims to achieve a valuation of ₹5,500-6,000 crore, marking a major milestone in its journey.
Shadowfax, known for its last-mile e-commerce delivery services, has made significant strides in the logistics space, posting a revenue of ₹1,885 crore in FY24. The company has also narrowed its losses by 91% during the same period, indicating a significant improvement in its financial health.
As part of its IPO plans, Shadowfax has appointed ICICI Securities, JM Financial, and Morgan Stanley as its advisors. The investment bankers will help the company navigate the complex IPO process and ensure a successful listing on the stock exchange.
Shadowfax’s entry into the IPO market comes at a time when the Indian logistics industry is witnessing significant growth, driven by the surge in e-commerce demand. The company’s expertise in last-mile delivery has enabled it to establish a strong presence in the market, with a large fleet of vehicles and a network of logistics hubs across the country.
The logistics startup’s IPO plans have been in the works for some time, with reports suggesting that it had begun preparing for a listing as early as 2020. The company’s decision to go public is seen as a significant development in the Indian startup ecosystem, given its potential to create a new benchmark for logistics companies.
Shadowfax’s IPO will be a significant test for the Indian startup ecosystem, which has seen several high-profile listings in recent years. The company’s ability to raise funds and list successfully will be closely watched by investors and industry experts, who are eager to see how the Indian startup ecosystem fares in the global market.
In addition to its IPO plans, Shadowfax has also been focusing on expanding its services beyond e-commerce delivery. The company has been investing in new technologies and infrastructure to improve its operational efficiency and reduce costs. Its efforts have been paying off, with the company reporting a significant improvement in its financial performance in recent years.
Shadowfax’s IPO plans are also seen as a vote of confidence in the Indian economy, which has been facing challenges in recent times. The company’s decision to go public is a testament to the growth potential of the Indian startup ecosystem, which has been driving economic growth and creating new job opportunities.
In conclusion, Shadowfax’s decision to file a confidential DRHP with SEBI is a significant development in the Indian startup ecosystem. The company’s IPO plans are expected to raise significant funds, which will be used to expand its services and strengthen its operations. With a strong track record of financial performance and a growing presence in the logistics space, Shadowfax is well-positioned for a successful IPO and a bright future ahead.
Source: https://startuptalky.com/news/shadowfax-files-confidential-papers-with-sebi/
