Flipkart-backed logistics service provider Shadowfax has filed a confidential draft red herring prospectus with SEBI for an initial public offering (IPO). The IPO size is expected to be in the range of Rs 2,000– Rs 2,500 crore, sources said, comprising of a mix of fresh issue and offer for sale (OFS) by existing shareholders.
Shadowfax is backed by investors such as TPG, Eight Roads Ventures, Mirae Asset Ventures, Qualcomm Ventures, Trifecta Capital, and Nokia Growth Funds. The company is expected to be valued around Rs 8,500 crore.
In its last fundraise in February, when it raised $16.3 million from Mirae Asset, NGP Capital and others, the company was valued at around Rs 6,000 crore. Shadowfax plans to utilise the proceeds from the fresh issue towards enhancing capacity and investing in its network business.
The e-commerce segment is the major revenue contributor, accounting for around 75% of Shadowfax’s business. The remaining comes from quick commerce and hyperlocal deliveries. In FY24, its revenue from operations rose 33% to Rs 1,884.8 crore, from Rs 1,415 crore in FY23, while losses narrowed 92% to Rs 11.8 crore.
Shadowfax joins a slew of startups that have filed IPO papers in the last few weeks, including Pine Labs, Wakefit, Curefoods, who are collectively raising neary Rs 4,000 crore in fresh capital.