Snapdeal's parent AceVector files confidential draft IPO papers with SEBI

AceVector, parent company of ecommerce marketplace Snapdeal, has confidentially filed draft papers with markets regulator SEBI to raise funds through an initial public offering (IPO).

YourStory reported earlier this week that the firm was in the late stages of finalising and filing its draft red herring prospectus (DRHP) to raise Rs 500 crore through a public offering.

Entrackr was the first to report on this matter.

In a public announcement on Saturday, AceVector stated that it has submitted "the pre-filed draft red herring prospectus with SEBI and the stock exchanges ...in relation to the proposed initial public offering of its equity shares on the main board of the stock exchanges".

According to sources, the company has roped in CLSA and IIFL as bankers for the expected initial public offering (IPO).

The proposed issue will mostly comprise of primary capital. The ecommerce ecosystem firm operates ecommerce platform Snapdeal, software-as-a-service (SaaS) platform Unicommerce, and consumer brand-building company Stellar Brands.

Of these, Unicommerce became a publicly listed company in 2024. The company's IPO had received an overwhelming response, with the issue having been oversubscribed 168.32 times.

AceVector, which is founded by Kunal Bahl and Rohit Bansal, opted for the confidential pre-filing route, which allows it to withhold public disclosure of IPO details under the draft red herring prospectus (DRHP) until later stages. This route is gaining traction among Indian firms aiming for flexibility in their IPO plans.

In recent months, several companies, including INOX Clean Energy, logistics service provider Shadowfax Technologies, stock broking firm Groww, Gaja Alternative Asset Management, commerce enablement platform Shiprocket, Tata Capital, edtech unicorn PhysicsWallah and Imagine Marketing, the parent company of wearables brand boAt, chose confidential filings.

For the year ended March 2025, Unicommerce’s revenue grew 30% to Rs 135 crore from Rs 103 crore in FY24, while net profit rose to Rs 17.6 crore, up 34.3% from last year.

According to data website Tracxn, Snapdeal, which competes with established commerce websites, including US-based Amazon and Walmart-backed Flipkart, posted a marginal decline in FY24 revenue to Rs 384.7 crore compared to Rs 388.1 crore in FY23. However, it managed to narrow its losses by 43% to Rs 160.4 crore.

The filing adds AceVector to a long list of Indian firms that are looking to hit public markets this year. Companies like omnichannel jewellery retailer BlueStone and home services platform Urban Company, among others, have filed their DRHPs with the markets regulator.

Market experts note that the confidential pre-filing route offers companies greater flexibility and reduces the pressure to go public quickly. Unlike the traditional route, which requires companies to launch their IPOs within 12 months of receiving SEBI's approval, the pre-filing route extends this window to 18 months from the receipt of final comments. Additionally, firms can modify the primary issue size by up to 50% until the updated DRHP stage.

(With additional inputs from PTI)