Shiprocket cuts IPO size, lowers valuation expectations as it readies for Rs 1,618-Cr public issue
The Gurugram-based ecommerce enablement platform has reduced the size of its initial public offering by 31% from Rs 2,342 crore ahead of its market debut on August 12
Temasek-backed ecommerce enablement platform Shiprocket has reduced the size of its initial public offering (IPO) by nearly 31% to Rs 1,617.6 crore, from Rs 2,342 crore, according to its red herring prospectus.
The public issue is set to open for subscription on August 12 and close on August 14.
Shiprocket has set the price band at Rs 92-97 per share. At the upper end of the price band, the company is seeking a valuation of around Rs 7,057 crore, or $743 million.
The Gurugram-based company will now raise Rs 885 crore through a fresh issue of equity shares, down from the Rs 1,100 crore proposed in its updated draft red herring prospectus. The offer for sale has also been reduced to Rs 732 crore from Rs 1,242 crore.
The proceeds from the fresh issue will primarily be used to expand its platform and technology infrastructure, fund sales and marketing initiatives, repay debt, make strategic investments, and support general corporate purposes.
Founded in 2012 by Saahil Goel, Gautam Kapoor and Vishesh Khurana, Shiprocket began as an ecommerce storefront platform before pivoting to logistics and evolving into a full-stack ecommerce enablement platform. Today, it offers merchants multiple services spanning logistics, checkout, fulfilment, cross-border shipping, and financial solutions.
The company's backers include Temasek, Eternal (formerly Zomato), Bertelsmann India Investments, Info Edge Ventures, PayPal Ventures, March Capital, Tribe Capital, and Lightrock.
Edited by Swetha Kannan