Digital payments firm MobiKwik, which had filed its draft papers for an initial public offering worth Rs 1,900 crore in July, received an approval from the Securities and Exchange Board of India (SEBI) for the IPO on Friday, a person familiar with the development told VCCircle.
The company intends to raise up to Rs 1,500 crore through primary issuance of shares while stakeholders will sell shares worth Rs 400 crore including Sequoia Capital, Bajaj Finance, American Express Travel Related Services, Cisco Systems, Tree Line Asia, and promoters Upasana Taku and Bipin Preet Singh.
Taku told VCCircle that it does not intend to become a super app like its competitor Paytm which has also filed for a Rs 16,000 crore IPO recently.
MobiKwik will use the net proceeds from the IPO for funding organic and inorganic growth initiatives and for general corporate purposes.
In a recent analysis, VCCircle revealed that seven members of the company’s top brass are set to become ‘crorepatis’ through the employee options they own. Over 125 employees of the company are set to become millionaires in rupee terms.
MobiKwik defines itself as a fintech company providing payment solutions through mobile wallets and Buy Now Pay Later (BNPL) channel. It was founded in 2009.
In June 2021, the company raised Rs 149 crore ($20.4 million) in its Series G round of funding from United Arab Emirates-based Abu Dhabi Investment Authority (ADIA) at a post-money valuation of about $734 million (Rs 5,360 crore).
