Indian Financial Services Startup Seeks Funding Amidst Growing Market
In a move that marks its second attempt at going public, Indian financial services startup MobiKwik has filed a draft prospectus with the local markets regulator, seeking to raise approximately $84.2 million through an initial public offering (IPO) in its home market.
Background on MobiKwik
MobiKwik was founded 15 years ago by husband-and-wife duo Bipin Singh and Upasana Taku. Initially, the startup focused on providing mobile wallet services but has since expanded to offer a range of financial products, including digital payments, credit, investment, and insurance services.
Key Highlights from the Draft Prospectus
- MobiKwik plans to raise approximately $16 million in a pre-IPO round.
- The startup does not plan to sell any existing shares in the IPO.
- MobiKwik has seen significant growth, with over 146 million registered users and 3.8 million merchant partners.
- Its Zip buy-now-pay-later product saw credit disbursals of $490 million in fiscal 2023, up 21x from two years prior.
Market Context
MobiKwik’s decision to go public comes amidst a growing trend of Indian startups seeking funding through IPOs. The startup is the latest to join the list of companies looking to raise funds through an initial public offering.
Key Players Involved
- DRHPSBI Capital: Lead book-running manager for the IPO process
- DAM Capital: Co-lead book-running manager for the IPO process
Financial Performance
MobiKwik turned profitable in the six months ending September 30, 2023, with a profit of $1.1 million on revenue of $29.3 million.
Industry Trends
The Indian startup ecosystem has seen significant growth in recent years, with many companies seeking funding through IPOs or venture capital investments. According to reports, as many as 40 more tech-focused or adjacent firms are looking to go public in India in the next two years.
Conclusion
MobiKwik’s decision to seek funding through an initial public offering marks a significant milestone for the Indian financial services startup. With its strong growth trajectory and expanding range of financial products, MobiKwik is well-positioned to leverage its user base and merchant network to cross-sell additional financial products and drive revenue growth.
About the Author
Manish Singh is a senior reporter at TechCrunch, covering India’s startup scene and venture capital investments. He also reports on global tech firms’ India play. Before joining TechCrunch in 2019, Singh wrote for about a dozen publications, including CNBC and VentureBeat. He graduated in Computer Science and Engineering in 2015.
Related Stories
- Bioptimus Raises $41M to Develop ‘GPT for Biology’
- LemFi Moves Remittances Further into Asia and Europe with $53M in New Funding
- Groww Prepares for IPO Amidst Growing Interest in Trading Apps
Follow TechCrunch for the Latest News on Indian Startups and Venture Capital Investments
Subscribe to TechCrunch’s newsletters, including TechCrunch Daily News, TechCrunch AI, and Startups Weekly, to stay up-to-date with the latest news and trends in the Indian startup ecosystem.
Disclaimer
The information provided in this article is for general informational purposes only and should not be considered as investment advice. Investors are advised to conduct their own research and consult with financial experts before making any investment decisions.
About TechCrunch
TechCrunch is a leading online publication covering the latest news, trends, and analysis on startups, venture capital investments, and technology innovation. With a team of experienced journalists and editors, TechCrunch provides in-depth coverage of the Indian startup ecosystem, including key players, market trends, and investment opportunities.
Contact Us
For more information on this story or to suggest topics for future articles, please contact us at info@techcrunch.com.
Follow us on social media to stay up-to-date with the latest news and updates from the Indian startup ecosystem:
- Twitter: @TechCrunch
- LinkedIn: TechCrunch
- Facebook: TechCrunch
Advertising and Partnership Opportunities
If you are interested in advertising or partnering with TechCrunch, please contact us at ads@techcrunch.com or visit our website for more information.
Terms of Use
By using this website, you agree to our Terms of Use and Privacy Notice. Please review these policies carefully before using our services.
Copyright
Copyright 2024 TechCrunch. All rights reserved.
