New Delhi: Groww, the Bengaluru-based fintech discount broker, has secured the crucial SEBI approval to raise up to $1 billion (Rs.8,300 crore) through an IPO. The company has grown by leaps and bounds since its inception in 2016, eventually becoming India’s top broker by adopting an enhanced version of market pioneer Zerodha’s no-frills discount broking strategy.
In May 2025, the company was in the news for spending $150 million to acquire digital wealth management company Fisdom. According to reports back then, the company was in the process of filing for its IPO, even as it raised $202 million from Singapore-based GIC and ICONIQ capital.
Not much is known about the purpose of the IPO, as the Draft Red Herring Prospectus (DHRP) was filed confidentially. Post-IPO, the company’s valuation is set to reach $7 billion,making this the largest public issue of a fintech startup after Paytm’s $2.44 billion listing in 2021.
The company may have become India’s top fintech broker- with a 1.5 crore user base with diversified offerings, but it has achieved profitability only in 2023. SEBI’s recent crackdown on F&O trading is also poised to affect this status, even as competitors like AngelOne, Upstox and PayTM Money offer little room for the company to raise prices.
The continued market volatility, despite the increased awareness about investments, have actually reduced the company’s user base by about 5 percent this year.
This is even as its main competitor Zerodha has refused to get onto the IPO bandwagon, with CEO Nithin Kamath expecting a 20% decline in broking revenue due to lower market activity.
Last November, the company initiated its process to meet regulatory requirements for the IPO by re-domiciling in India from the US. The stockbroker is currently backed by marquee investors like Ribbit Capital, Tiger Global, Peak XV Partners among others. The IPO may see early investors Tiger Global and Peak XV Partners offload their stakes through an Offer For Sale (OFS), according to some reports.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Readers should conduct their own research or consult with a qualified financial advisor before making any investment decisions.
