Digital investment platform Groww has filed a revised draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI), ahead of a Rs 7,000 crore initial public offering (IPO). The offering will include a fresh issue of Rs 1,020 crore along with a large offer-for-sale (OFS) of approximately Rs 5,000 crore by existing investors and co-founders.
IPO Details and Shareholders
The OFS will see Peak XV selling 15.8 crore shares, while YC Holding and Ribbit Capital offload 10.5 crore and 11.8 crore shares, respectively. Co-founders Lalit Keshre, Harsh Jain, and Neeraj Singh, along with Tiger Global and Kauffman Fund, will also participate. Peak XV remains the largest external shareholder with a 21.73% stake, followed by YC Holding (12.05%), while the co-founders hold between 6% and 9%.
Use of Funds
Proceeds from the fresh issue will support cloud infrastructure upgrades, brand building, subsidiary investments, acquisitions, and general corporate purposes. The IPO will be managed by Kotak, JP Morgan, Citi, Axis Capital, and Motilal Oswal, with MUFG Intime serving as registrar.
Strong Financial Performance
Groww reported a 50% year-on-year revenue increase, reaching Rs 3,902 crore in FY25, up from Rs 2,609 crore in FY24. The company turned profitable with Rs 1,824 crore in net profit, compared to a loss of Rs 805 crore in FY24. In Q1 FY26, Groww recorded Rs 904 crore revenue with Rs 378 crore profit, serving 18.07 million transacting users, including 14.38 million active clients.
Final Take
Groww’s IPO comes on the back of strong financials and growing user engagement, positioning it as a key player in India’s digital investment ecosystem. The offering will be closely watched by retail and institutional investors seeking exposure to India’s booming fintech market.
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