Fintech start-up Navi taps banks for $315M IPO
What's the story
Fintech start-up Navi Ltd. is gearing up for an initial public offering (IPO) in India, with plans to raise as much as ₹30 billion ($314 million), according to Bloomberg. The company, founded by former Flipkart co-founder Sachin Bansal, has hired JM Financial Ltd., Kotak Mahindra Capital Co., Goldman Sachs Group Inc., and JPMorgan & Chase Co. as advisors for the upcoming offering.
Offering details
Navi eyes valuation of up to $2B
The upcoming IPO from Navi will be a primary share sale, with no secondary offering by existing shareholders.
The company is eyeing a valuation of up to $2 billion and plans to file the prospectus by December.
However, these details are still under discussion and could change as talks continue.
Market trend
Trend of financial services IPOs in India
Navi's move comes as part of a growing trend among Indian financial-services companies looking to enter the equity markets.
Other firms such as Muthoot Fincorp Ltd., Truhome Finance Ltd., InCred Holdings Ltd., Moneyview Ltd., and Hero FinCorp Ltd. are also preparing for upcoming listings.
So far this year, companies have raised around $7 billion through IPOs in India, Bloomberg data showed.
Past efforts
Navi's previous IPO filing and deferred offering
Navi had previously filed a draft prospectus in March 2022 for an IPO of up to ₹33.5 billion and received regulatory approval in September that year.
However, the offering was deferred due to weak investor sentiment amid domestic and global challenges.
The company is a diversified financial services provider with operations across lending, mutual funds, health insurance, and UPI payments.