After Zomato and Paytm, now online payments firm Mobikwik, backed by Sequoia Capital and Bajaj Finance, is all set for Initial Public Offer (IPO). The company has filed its draft documents to raise Rs 1,900 crore via a public offering.
Nearly, Rs 1,500 crore will be primary share sales while up to Rs 400 crore will be secondary share sales where existing investors can sell their stake. The promoters Singh and Taku plan to sell about Rs 190 crore of their stake, while Sequoia and Bajaj Finance will sell Rs 95 crore and 69 crore respectively, filings said.
Mobikwik is the latest among a slew of internet companies wanting to list on stock exchanges. The Gurgaon-based company’s bookrunners include ICICI Securities, BNP Paribas, Credit Suisse, Jefferies. It includes OFS of Rs 400 crore comprising Rs 9.9 crore by American Express, Rs 68.9 crore by Bajaj Finance, Rs 111 crore by founder Bipin Preet Singh, Rs 78 crore by founder Upasana Taku, Rs 11 crore by Cisco Systems, Rs 94 crore by Sequoia Capital and Rs 24 crore by Treeline Asia.
Founded in 2009 by husband-wife duo Bipin Preet Singh and Upasana Taku, Mobikwik was last valued at $700 million when it raised $20 million last month from Abu Dhabi Investment Authority (ADIA).cFor the year ended March 31, 2021, the payment firm’s total income was down by 18 per cent to Rs 302 crore while its losses rose 12 percent to Rs 111 crore.
The development comes just after rival payments firm Paytm filed a DRHP ahead of its planned IPO slated for November. Paytm on July 12 received approval from its shareholders at an extraordinary general meeting to raise Rs 12,000 crore through a fresh issue of shares.
In the secondary issue, where existing shareholders will sell their shares, it will raise to bring the total to Rs 16,600 crore. Shareholders also gave their nod for Paytm founder and CEO Vijay Shekhar Sharma to be declassified as promoter, as he does not own the requisite 20 per cent stake in the firm.
Meanwhile, online food ordering platform Zomato’s public issue is slated for July 14-16, with the company to raise as much as Rs 9,375 crore.
