Groww IPO Filing: A Fintech Unicorn’s Bid for $1 Billion

May 26, 2025

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In a significant development for India’s fintech ecosystem, Groww, one of the country’s leading investment platforms, has filed its draft red herring prospectus (DRHP) with SEBI. The Bengaluru-based startup is targeting an initial public offering (IPO) valued between $700 million to $1 billion, aiming to raise capital through a mix of fresh issuance and offer-for-sale (OFS) by early investors.

This move marks a pivotal moment not just for Groww, but also for India’s startup IPO pipeline, as fintech unicorns prepare to test public market waters.

What the Draft Papers Reveal

According to the DRHP, Groww plans to raise funds through a fresh issue of shares worth ₹1,600 crore, while the OFS component will see participation from early and prominent backers such as Peak XV Partners (formerly Sequoia Capital India), Y Combinator, and Tiger Global. These investors will partially exit their holdings, signaling both confidence in market timing and the need for liquidity events in India’s maturing startup ecosystem. The IPO will provide Groww with additional capital to expand its user base, invest in technology, and potentially enter new financial services verticals.

India’s Fintech Boom and Groww’s Trajectory

Founded in 2016, Groww has evolved from a mutual fund distribution platform into a full-fledged investment ecosystem offering stocks, ETFs, digital gold, and US equity investments. The platform serves over 7 million monthly active users and saw its revenue rise to ₹1,277 crore in FY23, compared to ₹351 crore in FY22. As India’s digital investment market continues to grow rapidly—projected to reach $1 trillion AUM by 2030—Groww’s IPO underlines how fintech players are capitalizing on increasing financial inclusion and digital adoption.

The Groww IPO filing reflects a broader shift in India’s fintech landscape, where private market darlings are maturing into public market contenders. With a strong user base, growing revenue, and backing from marquee investors, Groww’s public debut could set a precedent for other fintechs eyeing listings.

As regulatory clarity improves and investor appetite grows, such IPOs may play a key role in driving transparency, capital access, and global visibility for Indian startups.