Groww, India’s largest retail broker, is preparing to file for an IPO in 10 to 12 months, seeking a valuation between $6 billion and $8 billion, sources familiar with the matter told TechCrunch.
The Bangalore-headquartered listing will be the first IPO by a digital trading platform in India. The target valuation is more than double the $3 billion it was last valued at in its October 2021 funding round.
Groww, which counts Peak XV, Tiger Global and Alkeon among its backers, has started talks with investment banks and will soon select advisers for the IPO, the sources said. The startup, which also allows customers to invest in mutual funds and make UPI transactions, shifted its headquarters to India from the US last year as part of its IPO preparations.
Groww declined to comment.
The trading app has moved ahead of competitors in India’s bustling retail investment market. It had 13.2 million active users in December, compared with 8.1 million users of nearest competitor Zerodha, according to National Stock Exchange data. Groww adds between 325,000 and 550,000 new users each month — more than double the rate of its competitors, per exchange.
India has emerged as a bright spot for tech listings globally, with seven tech startups slated to go public in 2024. Food delivery platform Swiggy’s $1.35 billion IPO was the world’s largest tech listing last year.
More than 20 Indian startups are planning IPOs in 2025, including business-to-business marketplace Zetwerk, managed workspace provider Table Space, Prosus-owned PayU and pharma platform PharmEasy.
Abhinav Bharti, JPMorgan’s India head of equity capital markets, told TechCrunch in a recent interview that growing domestic capital and India’s policy continuity were among the factors driving the rise in IPOs in the country.
The collective market capitalization of India-listed companies doubled to $5.3 trillion in 2014 compared to 2019, while daily trading volume tripled to $15 billion.
“No other country in the world gives you as much political certainty and policy continuity,” Bharti told TechCrunch. “You can argue with a political decision, but you can’t argue with the fact that they were consistent.”
