The IPO of digital investment platform Groww was well-received; the issue was subscribed 17.6 times in total. A potential listing price of Rs 105 per share is indicated by the fact that its grey market premium (GMP) has decreased to Rs 5 per share, which is around 5% above the issue price.
Key Highlights
- Groww IPO subscribed 17.6 times, signaling strong investor demand in its listing process.
- The QIB quota for Groww saw 22 times bids, far exceeding retail and NII participation levels.
Subscriptions for the IPO were accepted between November 4 and November 7, with a minimum investment requirement of Rs 14,250 and a pricing range of Rs 95–100 per share. The company's shares are anticipated to list on the BSE and NSE on November 12, and the allocation is anticipated to be completed by November 10.
A new issue of shares valued at Rs 1,060 crore and an offer for sale (OFS) of Rs 5,572.3 crore at the upper price range of Rs 100 per share are also part of Groww's IPO, according to the RHP. The corporation is valued at about Rs 61,736 crore (about $7 billion) because to the involvement of early big investors in the OFS.
Exchange data indicates that Groww's IPO was oversubscribed 17.6 times, with the retail segment subscribed 9.43 times, QIBs (apart from anchors) 22.02 times, and Non-Institutional Investors (NIIs) 14.2 times.
The stockbroking platform Groww earned Rs 2,984.5 crore from anchor investors during its initial public offering (IPO) process. Prominent companies including HDFC Mutual Fund, Kotak Mutual Fund, SBI Mutual Fund, Nippon India, Abu Dhabi Investment Authority, and Goldman Sachs participated.
The partial offer for sale is expected to yield substantial profits for Groww's current investors. Nirman Ventures and Y Combinator are anticipated to post returns of 126.6X and 29X, respectively, while Kauffman Fellows Fund is predicted to generate an astonishing 196X return. Significant returns from the IPO are also anticipated for major investors, such as Peak XV Partners, Tiger Global, and Ribbit Capital.
Also Read: Groww IPO Pegs Founders' Stake at $1.85B; Y Combinator Eyes 29x
The Bengaluru-based company's profit increased to Rs 1,824 crore in FY25, while its operating revenue increased by almost 50% year over year to Rs 3,902 crore. Groww reported a profit of Rs 378.36 crore in Q1 FY26, despite an almost 10% YoY fall in revenue to Rs 904.4 crore.
