Flipkart-backed Shadowfax Sets IPO Price Band at INR 118–124 The IPO will open for public subscription on January 20.
You're reading Entrepreneur India, an international franchise of Entrepreneur Media.
Flipkart-backed logistics firm Shadowfax has announced a price band of INR 118 to INR 124 per equity share for its upcoming initial public offering (IPO), according to YS media platform.
The IPO will open for public subscription on January 20.
The total issue size is pegged at INR 1,907.2 crore. This comprises a fresh issue of shares worth INR 1,000 crore and an offer-for-sale (OFS) component amounting to INR 907.3 crore. Details of the issue were outlined in the company's red herring prospectus (RHP), which was filed with the Registrar of Companies earlier this week.
Several existing investors will pare their holdings through the OFS. These include Flipkart, Eight Roads Investments, Qualcomm, Nokia Growth Partners, NewQuest, International Finance Corporation, and Mirae Asset.
The IPO process will begin with a one-day anchor investor bidding on January 19. Following the close of the issue, Shadowfax's equity shares are expected to be listed on the stock exchanges on January 28.
As per the allocation structure, around 75% of the net offer has been reserved for qualified institutional buyers. Not more than 15% has been earmarked for non-institutional investors, while up to 10% will be available for retail investors. Shares worth INR 5 crore have also been set aside for eligible employees.
Financially, Shadowfax reported a turnaround in FY25. The company posted a profit of INR 6.4 crore during the year, compared with a loss of INR 11.8 crore in the previous financial year. Operating revenue grew 32% year-on-year to INR 2,485 crore.
The Bengaluru-based company plans to utilise a significant portion of the net proceeds to strengthen its logistics network. Funds will also be used for lease payments related to new first-mile, last-mile, and sorting centres, along with a smaller allocation for branding and marketing activities.
Founded in 2015 by Abhishek Bansal, Vaibhav Khandelwal, Praharsh Chandra, and Gaurav Jaithliya, Shadowfax focuses on last-mile delivery services for e-commerce and hyperlocal segments. It operates with over 1.25 lakh monthly active delivery partners across categories such as grocery, food, and medicines.
