Bengaluru-based investment platform Groww is set to become the first Indian startup to go public in India after relocating its domicile from the U.S. The IPO follows a strong financial turnaround and a notable ₹614 crore in performance-linked payouts to its founding team.
According to its draft red herring prospectus (DRHP), Groww plans to raise ₹1,060 crore through a fresh issue of shares. Existing investors will sell about 574 million shares via an Offer for Sale (OFS), marking a significant exit. The four co-founders- CEO Lalit Keshre, COO Harsh Jain, CFO Ishan Bansal, and CTO Neeraj Singh- will collectively sell only about 4 million shares, less than 1% of the total, indicating their long-term commitment.
Founded in 2016 and backed by investors including Microsoft CEO Satya Nadella, Peak XV Partners, Tiger Global, and Y Combinator, Groww shifted its headquarters from Delaware to India in 2024 — a rare move among Indian startups.
Groww posted a profit of ₹1,824 crore in FY25, reversing a ₹805 crore loss in FY24. Revenue rose 45% year-on-year to ₹4,060 crore. The prior loss was mainly due to one-time costs related to the U.S.-to-India shift. The company also reported a net profit of ₹378 crore in Q1 FY26.
However, the pre-IPO period has attracted controversy due to founders receiving ₹614 crore in incentives in FY25, a sum exceeding the company’s Q1 profit. Details on performance criteria for these bonuses have not been disclosed, raising governance concerns. Groww has not responded to media queries on the matter.
Groww is among India’s largest online investment platforms, with 37.4 million demat accounts (19% market share), 12.6 million active NSE clients (26% share), 17 million active SIPs, and over 9 million mutual fund investors. It is the only Indian investment app with more than 100 million downloads.
The IPO is being led by JPMorgan Chase, Kotak Mahindra, Citigroup, Axis Bank, and Motilal Oswal. Groww’s successful listing could encourage other startups to follow suit, but the high founder payouts may invite scrutiny from investors and regulators.