Digital payments startup Mobikwik is planning to raise US$250-US$300 million through an initial public offering (IPO) and is set to file a Draft Red Herring Prospectus (DRHP) with the capital markets regulator within a week, sources said.
The development comes close on the heels of rival Paytm’s plan to file a DRHP ahead of its planned IPO slated for November and as a host of new-age Indian startups look to list publicly later this year.
Zomato’s public issue is slated for July 14-16, with the online food delivery firm looking to raise as much as Rs 9,375 crore.
Mobikwik completed the paperwork on Thursday and could file it with the Securities and Exchange Board of India (Sebi) soon, a person aware of the matter said.
“It’s a matter of days,” the person added.
News wire Bloomberg was the first to report the development on Friday.
Mobikwik cofounder Bipin Preet Singh did not immediately respond to ET’s messages.
An email sent to the company did not elicit a response till press time Friday.
Last month, the Gurugram-based firm closed a US$20 million (Rs 150 crore) funding round from Abu Dhabi Investment Authority (ADIA), valuing it at US$700 million.
Mobikwik may seek a valuation of US$1 billion for the IPO, sources said.
Earlier this week, ET reported that Paytm was expected to file its DRHP for an IPO soon after its extraordinary general meeting (EGM) on July 12.
Multiple top-tier startups like Delhivery, Nykaa and PolicyBazaar are also expected to go public this year.
Founded in 2009 by Singh and wife Upasana Taku, Mobikwik has raised over US$165 million, according to startup data platform Crunchbase.
This includes equity and debt funding.
Singh and Taku collectively own about 33.2 per cent stake in the company.
Mobikwik’s user database was reportedly breached recently, and the Reserve Bank of India had ordered a probe into the matter. The company has, however, denied that a breach took place.
Mobikwik is said to be conducting over one million daily transactions across its network, including on its digital wallet, UPI and bill payment services.
The company, which also counts Sequoia Capital among its investors, became an aggregator of mutual funds and small-ticket credit services. Mobikwik has said that it has over three million merchants on its network and serves over 107 million users.
