Latest news with #DRHPs
News18
03-07-2025
- Business
- News18
Meesho IPO: E-Commerce Firm Files Confidential DRHP With SEBI to Raise Rs 4,250 Crore
Last Updated: Meesho IPO: A few days back shareholders of Meesho had approved the plan to raise Rs 4,500 crore ($500 million) through a fresh issue of equity shares. Meesho IPO: Meesho, the budget-friendly e-commerce platform, has reportedly filed its draft red herring prospectus (DRHP) confidentially with the Securities and Exchange Board of India (SEBI), aiming to raise Rs 4,250 crore through its initial public offering (IPO), as per a report by Moneycontrol. A few days back sharesholders of Meesho had approved the plan to raise Rs 4,500 crore ($500 million) through a fresh issue of equity shares. In the filing with Registrar of Companies, Meesho announced that the resolution was passed during an Extraordinary General Meeting on June 25, 2025. Additionally, the shareholders approved the designation of co-founder Vidit Aatrey as chairman, managing director, and CEO. It is part of Meesho's board rejig ahead of the launch of its IPO. Meesho is reportedly expected to file Draft Red Herring Prospectus (DRHP) in the coming months under the confidential route, as MoneyControl reported earlier. The company is planning to raise a total of around Rs 8,500 crore ($1 billion) through a mix of primary capital and an offer for sale (OFS). Earlier, Meesho shifted the headquarters to India as part of its public listing plan. Meesho mergered its Delaware-based entity Meesho INC. with its Indian arm. In the past two weeks alone, Pine Labs, Wakefit, Curefoods, Shadowfax have all filed their DRHPs to raise a total of about Rs 6,000 crore in primary capital, Moneycontrol had reported earlier. The name change, effective from May 13, 2025, aligns with Meesho's strategic focus on strengthening its brand identity as a leading e-commerce platform in India. It reflects Meesho's evolution into a comprehensive online marketplace. The company will now begin the process for its IPO, though the timeline for the listing has not been disclosed. While Prosus and SoftBank jointly hold around 22 percent of Meesho, this stake is relatively lower compared to the combined ownership of Elevation Capital and Peak XV Partners, the two largest investors in the e-commerce startup. Despite entering the Indian e-commerce market relatively late in 2015, Meesho has expanded rapidly, particularly by focusing on Tier 3 and smaller markets, which cater to value-conscious consumers. This strategy has helped it gain significant market share, even against well-funded rivals like Flipkart and Amazon.
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Business Standard
02-07-2025
- Business
- Business Standard
DRHP filings surge to 118 in H1 2025 amid strong valuation appetite
The filing of draft red herring prospectuses (DRHPs) picked up pace during the first half of 2025, reflecting continued optimism among promoters to list, thanks to the attractive valuations on offer. In the first half of 2025, 118 firms filed their offer documents, compared to 52 during the same period in 2024. The cumulative amount companies are seeking to raise via these filings is Rs 1.6 trillion, up from Rs 1 trillion in H1 2024. Among the marquee companies filing offer documents this year are Groww, Pine Labs, Waterways Leisure Tourism (which operates Cordelia Cruises), Lalitha Jewellery Mart, Canara Robeco Asset Management and Physicswallah. Several companies have also taken the confidential filing route for IPOs—a newly introduced mechanism that allows them to keep DRHPs private until plans are finalised. The DRHP is a preliminary document filed ahead of an IPO and contains key disclosures, including share offer size, financial statements and risk factors. Experts say the strong pipeline of filings suggests large-scale issuances are likely in the second half of the year, provided market conditions remain supportive. The IPO market was tepid in the first four months of 2025, with 10 companies raising Rs 18,704 crore, before activity picked up in May and June. March marked the first month in nearly two years without a single IPO, while April saw just one deal. The sell-off in the secondary market that began in October 2024—driven by concerns over slowing corporate earnings and high valuations—contributed to the subdued IPO environment earlier this year. However, companies continued to file offer documents even during months without IPO activity. Bankers noted that a public issue is typically an 18-month process, with DRHP preparation and Sebi approval taking up to six months, followed by a 12-month window to launch the deal. Given this timeline, issuers prefer to remain prepared for more stable market windows. 'FPI selling intensity had increased for a few months till March, and there were concerns around corporate earnings and Trump tariffs. Now that those concerns have receded and FPIs have become net buyers again, domestic flows remain strong, and companies are proceeding with their IPO plans. Moreover, public market valuations are very attractive,' said V Jayasankar, managing director, Kotak Investment Banking. The remainder of the year is likely to be more robust than the first half, with momentum expected to continue in terms of issue launches and filings. 'With the sentiment now improving, I expect at least a similar number of DRHPs to be filed in the second half as well. An IPO is the eventual goal of most venture capital and private equity-backed startups. We will see several more new-age companies filing their DRHPs going forward. As per our data, there are at least 70 such startups that have announced their intent to go public but have not yet filed,' said Pranav Haldea, managing director, Prime Database.
Business Standard
21-05-2025
- Business
- Business Standard
DRHP filings hit 10-year high in 2025 despite muted IPO launches
Despite market sell-off and IPO slowdown, 85 firms filed DRHPs in 2025, highest in over a decade; experts see revival ahead as confidence returns Sundar Sethuraman Listen to This Article The filing of draft red herring prospectuses (DRHPs) has remained resilient in 2025, reflecting continued optimism in the initial public offering (IPO) market, even as broader equity markets have weakened and primary activity slowed. Between January and May, 85 companies filed their DRHPs with the Securities and Exchange Board of India (Sebi), the highest tally for this period in over a decade. Among the marquee companies filing offer documents this year are Tata Capital, Urban Company, and Canara Robeco Asset Management. A DRHP is a preliminary prospectus filed ahead of an IPO and contains key disclosures, including share offer size,
Time of India
19-05-2025
- Business
- Time of India
Startups bring IPOs back on table as markets rebound
MUMBAI: After a lull lasting 4-5 months, the window may be opening up for and a broader set of companies amid a bounce back in local markets and relative easing of global geopolitical tensions. Firms have begun active discussions on listings and are expediting IPO filings to make most of the time, told TOI. Tired of too many ads? go ad free now Startups are even feeling more confident in terms of setting valuation expectations, after a clutch of firms like Ather Energy readjusted their issue size and valuations to get more investor participation amid a weak market. Over 80 companies are at different stages of approval for IPOs, about a fourth of which are in new age sectors, according to data shared by IIFL Capital. "With the recent ceasefire and signs of progress between the US and China on tariffs, the (market) tone has become more constructive. That's reflected in the strength of last week's block deals, which were well absorbed by the market. We are also seeing companies look at primary issuance more actively to take advantage of the current window," said Kailash Soni, head of India equity capital markets (ECM) at Goldman Sachs. Not to say that there will be a flurry of IPOs immediately given that it takes longer to launch IPOs but the momentum is back. "The stability we are now seeing has certainly renewed interest-we expect to see meaningful activity in the second half of the (calendar) year particularly from companies that had previously put plans on hold," Soni added. The sensex, from an all-time high of nearly 86K mark in late Sept 2024, had lost nearly 15% to 73K by early April this year. Since then it has gained, accompanied by intermittent spells of high volatility, to around 82K level now, down just about 4% from its lifetime high level nearly eight months ago. Companies like LG Electronics' India arm had paused IPO plans amid market volatility. Zepto, PineLabs, Lenskart, Groww and PhonePe are among startups that are preparing for IPO while some like Urban Company and PhysicsWallah have already filed their draft IPO papers with SEBI. Tired of too many ads? go ad free now "A lot of new age companies are accelerating the filing of DRHPs. If the markets remain stable, we will see more new age firms launching IPOs this year compared to traditional companies. The markets now are in a risk on mode," said Gaurav Sood, managing director and head, ECM at Avendus Capital.
