Groww anchor book sees bids worth 15X at Rs 50,000 crore; Sequoia Capital, SBI MF among investors

Strong Institutional Demand Positions Groww IPO for Robust Market Debut.

Expert Analysis :

• Pre-IPO Demand: Groww received bids worth Rs 50,000 crore from large domestic mutual funds and foreign funds ahead of its November 4 IPO opening.

• Anchor Book Oversubscription: The Rs 3,000 crore anchor book was oversubscribed over 15 times, attracting top mutual funds and major US investors, reflecting strong demand.

• IPO Valuation: Groww’s Rs 6,632 crore IPO values the Bengaluru-based firm at around $7 billion, drawing strong interest from domestic funds.

• Price Band and Issue Structure: Announced on October 29, Groww’s IPO is priced at Rs 95–Rs 100, valuing it at Rs 62,500 crore ($7.1 billion), comprising a Rs 1,060 crore fresh issue and a Rs 5,572 crore offer for sale.

• Financial Performance: For FY25, Groww reported revenue of Rs 4,056 crore, net profit of Rs 1,899 crore, and net margins of 44.85%, highlighting strong profitability.

• IPO Details: The IPO opens from November 4–7, 2025, with a price-to-earnings ratio of 33.5; allotment is on November 10, and listing on BSE and NSE begins November 12.

• Offer Structure: The Rs 6,632 crore issue includes Rs 1,060 crore fresh shares, while major investors will sell 55.72 crore shares worth Rs 5,572.3 crore via offer-for-sale.

• Major Investors: Peak XV Partners holds 19.87 percent, Ribbit owns 14.78 percent, YC holds 13.24 percent, and Tiger Global’s Internet Fund VI owns 6.04 percent in Groww.

• Use of Proceeds: Groww will allocate Rs 152.5 crore for cloud infrastructure, Rs 225 crore for brand and marketing, Rs 205 crore to Groww Creditserv, and Rs 167.5 crore to Groww Invest Tech, with the remaining funds for acquisitions and corporate purposes.

• IPO Allocation: Up to 75% of shares are reserved for qualified institutional buyers, 15% for non-institutional investors, and 10% for retail investors, with a minimum bid of 150 shares.