Temasek-backed e-commerce enablement platform Shiprocket has submitted updated draft documents to the Securities and Exchange Board of India (SEBI) as it seeks to raise approximately ₹2,342 crore through its initial public offering (IPO).
The IPO package consists of a fresh equity issue amounting to ₹1,100 crore alongside an offer for sale (OFS) of ₹1,242.3 crore by existing shareholders, as detailed in the updated draft red herring prospectus (UDRHP).
Entities involved in the OFS include Lightrock, Tribe Capital, Bertelsmann, Arvind Ltd, Gautam Kapoor, Saahil Goel, and Vishesh Khurana, all of whom will be reducing their ownership stakes in the company.
According to the filings submitted on Friday, the proceeds from the IPO will primarily be allocated to bolster Shiprocket’s platforms, with investments earmarked for marketing efforts and enhancements to its technological infrastructure, supporting both its main and emerging business units.
Additionally, part of the funds will be dedicated to repaying or prepaying certain loans along with the associated interest. The company also plans to utilize a portion of the proceeds for potential acquisitions and general corporate purposes.
Shiprocket is considering a pre-IPO placement of up to ₹220 crore, which would adjust the size of the fresh issue accordingly, if executed.
Backed by notable investors such as Temasek and Zomato, Shiprocket has transitioned from a shipping provider to a comprehensive e-commerce enabler for direct-to-consumer (D2C) brands and micro, small, and medium enterprises (MSMEs).
Initially, Shiprocket filed its draft IPO documents with SEBI via the confidential filing route in May. The company received approval to proceed with the public offering in November, after which updated documentation was required.
The business operates under two primary segments: Core Business and Emerging Business. The core segment encompasses its domestic shipping platform and associated applications, providing end-to-end shipping solutions in India, which include multi-modal transport, AI-based logistics allocation, and order management and tracking tools.
The emerging segment focuses on newer initiatives such as cargo and fulfillment services, cross-border shipping, advertising and marketing solutions, capital solutions, and hyperlocal deliveries, all aimed at enabling merchants to expand their operations.
Shiprocket’s business model is characterized as asset-light, supported by a scalable technology platform and an extensive network of ecosystem partners.
The book-running lead managers for the public offering are Axis Capital, BofA Securities India, JM Financial, and Kotak Mahindra Capital Company.
