Latest news with #KashyapChanchani
Hans India
2 days ago
- Business
- Hans India
Listed startups raise over $5-bn via public markets in FY25
New Delhi: Venture-backed Indian startups raised over Rs 44,000 crore ($5.3 billion) in FY25 from public markets via initial public offerings (IPOs), follow-on public offerings (FPOs), and qualified institutional placements (QIPs), a report said on Monday. Public markets outpaced private capital for late-stage fundraising, solidifying their role as the dominant source of growth capital, according to Rainmaker Group's 'RainGauge Index FY25 Annual Report'.FY25 also marked the first full market cycle for India's startup listings after a euphoric period for IPOs in 2021–22, sharp corrections in 2023, and rationalisation in 2024. 'All of this unfolded with a backdrop of a cyclical economic slowdown in India in FY25, causing a lot of consumer-facing companies to battle margin compression and weak topline momentum, the report said. The fiscal year also saw a secondary exit of over Rs 20,000 crore as private equity/venture capital (PE/VCs) harvested early bets through block deals.'FY25 didn't just test India's startup listings, it matured them,' said Kashyap Chanchani, Managing Partner, The Rainmaker Group. The public market has become the preferred playground for India's breakout companies. We've now seen the full arc - the IPO frenzy, the valuation winter, and now a clear re-rating driven by fundamentals, Chanchani said.
The Hindu
2 days ago
- Business
- The Hindu
India's listed startups raised over ₹44,000 crore from public markets in FY25: report
Venture-backed Indian startups raised over ₹44,000 crore ($5.3 billion) in FY25 from public markets via IPOs, FPOs, and QIPs, marking a structural shift in startup fundraising lifecycle in India. According to investment bank Rainmaker Group's RainGauge Index FY25 Annual Update, public markets outpaced private capital for late-stage fundraising, solidifying their role as the dominant source of growth capital. The money raised from public markets was two times more than private late-stage capital. The year also saw a record ₹20,000+ Crore in secondary exits as PE/VC firms like Peak XV and TPG harvested early bets through block and bulk deals. 'FY25 didn't just test India's startup listings, it matured them,' said Kashyap Chanchani, Managing Partner, The Rainmaker Group. 'The public market has become the preferred playground for India's breakout companies. We've now seen the full arc - the IPO frenzy, the valuation winter, and now a clear re-rating driven by fundamentals. This is the age of seasoning. The market is no longer listening to stories, it's pricing in substance. India's innovation economy has hit a new gear, one where companies with predictable earnings, durable moats, and institutional-grade governance will dominate,' he added. The report also noted that despite the early-year correction and record FII outflows [around ₹78,000 Crore in Q1], foreign investors returned strongly by Q4, driven by rate-cut expectations and India's steady macro indicators. The year witnessed Zomato joining the NIFTY50 and SENSEX, Swiggy entering the NIFTY Next 50, and Nykaa, PB Fintech, Ola Electric inducted into the NIFTY MidCap150. 'With IPOs no longer delivering inflated valuations or easy exits, startups will have to align with public market expectations much earlier in their lifecycle,' said a statement from the company. 'Sector-specific valuation guardrails are firmly in place with two-year forward EV/EBITDA multiples now providing structured lenses across internet, SaaS, BFSI, and consumer brands. Analyst-grade metrics, unit economics, transparency, and sustainable growth stories will need to be baked in from day one. Startups must now build with capital efficiency, narrative credibility, and governance readiness and not just valuation hype,' it further read.
Hans India
2 days ago
- Business
- Hans India
India's listed startups raise over $5 billion from public markets in FY25
New Delhi: Venture-backed Indian startups raised over Rs 44,000 crore ($5.3 billion) in FY25 from public markets via initial public offerings (IPOs), follow-on public offerings (FPOs), and qualified institutional placements (QIPs), a report said on Monday. Public markets outpaced private capital for late-stage fundraising, solidifying their role as the dominant source of growth capital, according to Rainmaker Group's 'RainGauge Index FY25 Annual Report'. FY25 also marked the first full market cycle for India's startup listings after a euphoric period for IPOs in 2021–22, sharp corrections in 2023, and rationalisation in 2024. "All of this unfolded with a backdrop of a cyclical economic slowdown in India in FY25, causing a lot of consumer-facing companies to battle margin compression and weak topline momentum, the report said. The fiscal year also saw a secondary exit of over Rs 20,000 crore as private equity/venture capital (PE/VCs) harvested early bets through block deals. 'FY25 didn't just test India's startup listings, it matured them,' said Kashyap Chanchani, Managing Partner, The Rainmaker Group. The public market has become the preferred playground for India's breakout companies. We've now seen the full arc - the IPO frenzy, the valuation winter, and now a clear re-rating driven by fundamentals, Chanchani said. The financial year also saw some symbolic structural changes. Meanwhile, mutual fund participation surged, with average holdings in RainGauge Index companies, a pool of listed startups prepared by Rainmaker Group, rose from 10 per cent in March 2024 to 14 per cent in March 2025, the report said. Despite the early correction and record FII outflows of over Rs 78,000 crore in the first quarter of FY25, foreign investors returned strongly by Q4, driven by rate-cut expectations and India's steady macro indicators, the report stated. The Rainmaker Group is one of India's investment banks focused exclusively on the private markets.
Time of India
02-05-2025
- Business
- Time of India
Flipkart, PhonePe, Oyo among $100 billion tech startups eyeing IPOs by 2027
More than three dozen tech startups with a combined valuation of $100 billion are set to go public by 2027 in what would mark a rebound in stock sales in India, according to one of the country's top deal advisers to internet companies. Walmart Inc.-controlled online retailer Flipkart, payments firm PhonePe and lodging provider Oyo Hotels are among the companies seeking to list in the country, which was the world's second-largest market for share sales last year but has lost steam since. Most companies preparing for an initial public offering have been able to strike a balance between speedy growth and profitability, according to a report by the homegrown investment bank The Rainmaker Group. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Pernas e pés inchados: Experimente isso para ajudar a drenar o fluído do edema aartedoherbalismo Undo Young companies are now in better shape than in 2021 and 2022, when several startups that sought to capture India's booming capital markets cratered after listing at high valuations, said Kashyap Chanchani, managing partner at Rainmaker. Payment provider Paytm has dropped about 63% since its IPO while beauty retailer Nykaa is down 4%. Play Video Pause Skip Backward Skip Forward Unmute Current Time 0:00 / Duration 0:00 Loaded : 0% 0:00 Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 1x Playback Rate Chapters Chapters Descriptions descriptions off , selected Captions captions settings , opens captions settings dialog captions off , selected Audio Track default , selected Picture-in-Picture Fullscreen This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Text Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Transparent Caption Area Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Drop shadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. 'The financial health of the startups due to list in the next two years is materially better than the companies that listed previously,' Chanchani, who helped Indian startups raise $1 billion in equity last year, said in an interview. 'Two-thirds of these firms are already profitable, and they are also doing a better job with transparency.' Rainmaker's clients have included Oyo and e-commerce startup Swiggy, and the firm typically receives a cut of the fundraising deals it helps to arrange. It doesn't advise companies on IPOs. Live Events The number of share sales in India dropped by 34% in the first quarter as the stock market sputtered. The benchmark NSE Nifty 50 Index had risen for nine consecutive years, but it started declining in late September amid an unexpected slowdown in economic growth and a slew of analysts downgraded their expectations for corporate earnings. First-quarter proceeds from IPOs, block sales and share placements in India nearly halved to $7.1 billion, slipping below those of Hong Kong and Japan. Still, Chanchani is among bankers predicting that deals in India will pick up in the coming months, when several sales are expected to hit the market. Those include LG Electronics Inc.'s Indian unit, which may raise as much as $1.7 billion, and electric-scooter maker Ather Energy Pvt., which could raise about $400 million. A new surge in startup IPOs would provide a much-needed exit to large investors such as SoftBank Group Corp. and Prosus NV. Billionaire Masayoshi Son's SoftBank Vision Fund is a shareholder in companies such as Oyo, optician Lenskart Solutions Pvt., and used-car seller CARS24 Solutions Pvt., while Prosus is an investor in e-commerce firm Meesho and home services startup Urban Company. Firms like SoftBank and Prosus 'have a dozen companies or so where they are sitting on massive gains, and several of these firms have begun seeking the public markets route,' Chanchani said, cautioning though that IPOs will have to be priced carefully as retail investors will reject lofty valuations. Companies going public will have to assuage investor concerns about a slowing economy and earnings growth. Some of India's newly listed stocks have also declined after sales restrictions expired, adding pressure to a stock market already down hundreds of billions of dollars since late last year. India's startup economy remains among the biggest in the world after the US and China. Still, it's also one that's seen major corporate governance lapses, sinking valuations and profits turning to dust. Many young firms have been forced to cut jobs and growth plans, while others have imploded. Teacher-turned-entrepreneur Byju Raveendran's eponymous online tutoring business illustrates how a once high-flying company can run aground as investors lose faith in founders once-labeled charismatic.
Economic Times
02-05-2025
- Business
- Economic Times
Flipkart, PhonePe, Oyo among $100 billion tech startups eyeing IPOs by 2027
Live Events (You can now subscribe to our (You can now subscribe to our ETMarkets WhatsApp channel More than three dozen tech startups with a combined valuation of $100 billion are set to go public by 2027 in what would mark a rebound in stock sales in India, according to one of the country's top deal advisers to internet Inc.-controlled online retailer Flipkart, payments firm PhonePe and lodging provider Oyo Hotels are among the companies seeking to list in the country, which was the world's second-largest market for share sales last year but has lost steam since. Most companies preparing for an initial public offering have been able to strike a balance between speedy growth and profitability, according to a report by the homegrown investment bank The Rainmaker companies are now in better shape than in 2021 and 2022, when several startups that sought to capture India's booming capital markets cratered after listing at high valuations, said Kashyap Chanchani, managing partner at Rainmaker. Payment provider Paytm has dropped about 63% since its IPO while beauty retailer Nykaa is down 4%.'The financial health of the startups due to list in the next two years is materially better than the companies that listed previously,' Chanchani, who helped Indian startups raise $1 billion in equity last year, said in an interview. 'Two-thirds of these firms are already profitable, and they are also doing a better job with transparency.'Rainmaker's clients have included Oyo and e-commerce startup Swiggy, and the firm typically receives a cut of the fundraising deals it helps to arrange. It doesn't advise companies on number of share sales in India dropped by 34% in the first quarter as the stock market sputtered. The benchmark NSE Nifty 50 Index had risen for nine consecutive years, but it started declining in late September amid an unexpected slowdown in economic growth and a slew of analysts downgraded their expectations for corporate proceeds from IPOs, block sales and share placements in India nearly halved to $7.1 billion, slipping below those of Hong Kong and Chanchani is among bankers predicting that deals in India will pick up in the coming months, when several sales are expected to hit the market. Those include LG Electronics Inc.'s Indian unit, which may raise as much as $1.7 billion, and electric-scooter maker Ather Energy Pvt., which could raise about $400 million.A new surge in startup IPOs would provide a much-needed exit to large investors such as SoftBank Group Corp. and Prosus NV. Billionaire Masayoshi Son's SoftBank Vision Fund is a shareholder in companies such as Oyo, optician Lenskart Solutions Pvt., and used-car seller CARS24 Solutions Pvt., while Prosus is an investor in e-commerce firm Meesho and home services startup Urban like SoftBank and Prosus 'have a dozen companies or so where they are sitting on massive gains, and several of these firms have begun seeking the public markets route,' Chanchani said, cautioning though that IPOs will have to be priced carefully as retail investors will reject lofty going public will have to assuage investor concerns about a slowing economy and earnings growth. Some of India's newly listed stocks have also declined after sales restrictions expired, adding pressure to a stock market already down hundreds of billions of dollars since late last startup economy remains among the biggest in the world after the US and China. Still, it's also one that's seen major corporate governance lapses, sinking valuations and profits turning to dust. Many young firms have been forced to cut jobs and growth plans, while others have imploded. Teacher-turned-entrepreneur Byju Raveendran's eponymous online tutoring business illustrates how a once high-flying company can run aground as investors lose faith in founders once-labeled charismatic.
