Groww raises Rs 2,985 crore from investors ahead of IPO, sovereign funds, SBI MF join anchor book

Online investment platform Groww (Billionbrains Garage Ventures Pvt Ltd) has raised Rs 2,984.54 crore from 102 anchor investors, a day ahead of its initial public offering. The company allotted 29.84 crore shares at Rs 100 apiece, according to a regulatory filing.

Domestic mutual funds accounted for nearly 47% of the total anchor book, with 54 schemes from 17 fund houses subscribing to 13.89 crore shares. Among the largest domestic investors were Kotak Flexicap (which invested Rs 149 crore), Nippon India Multicap (Rs 159 crore), Axis Midcap (Rs 97 crore), and Motilal Oswal Multicap (Rs 95 crore).

Prominent global investors in the anchor round included the Government of Singapore, Norway’s Government Pension Fund Global (GPFG), Abu Dhabi Investment Authority (ADIA – Monsoon), Goldman Sachs India Equity Portfolio, Wellington, Eastspring, Amundi, MIT Endowment, and New York State Teachers’ Retirement System (NYSTRS).

Groww’s Rs 6,632 crore initial public offering comprises a fresh issue of Rs 1,060 crore and an offer for sale of 557 million shares by existing shareholders, including Peak XV Partners Investments, Y Combinator and Ribbit Capital.

The price band has been fixed at Rs 95-100 per share for the IPO that opens Tuesday. The firm is targeting to go public at a valuation of $7 billion.

Also Read: Groww founders opt out of OFS; Tiger Global trims share sale ahead of IPO

Microsoft chief executive officer Satya Nadella had picked up a stake in Groww in his personal capacity in 2022.

Founded in 2016 by ex-Flipkart executives Lalit Keshre, Harsh Jain, Neeraj Singh and Ishan Bansal, Groww has expanded from a mutual fund discovery app into a full-stack investment platform offering equities, derivatives, mutual funds and fixed-income products. The company posted a net profit of Rs 1,819 crore on revenue of Rs 4,056 crore in FY2025. It is the largest stockbroker in the country in terms of active clients. It has more than 18 million registered users.

Groww CEO Lalit Keshre told ET during a recent interaction that the company would use funds from the sale of fresh shares for brand building, strengthen the product and also go deeper into lending, like margin trade funding.

The company plans to use Rs 152 crore for cloud infrastructure, Rs 225 crore for brand building and Rs 205 crore for capitalising its in-house NBFC, according to its IPO prospectus.

Also Read: Esop windfall: Groww IPO to unlock employee wealth worth Rs 2,500 crore