Shadowfax likely to file confidential DRHP papers to raise Rs 2,500 crore next week

TPG-backed logistics service provider Shadowfax is likely to file draft papers with capital markets regulator Sebi through a confidential route for its IPO to raise up to Rs 2,500 crore early next week, according to sources.

The confidential pre-filing route allows a company to withhold public disclosure of details under the draft red herring prospectus (DRHP) until later stages.

Sources said that the Initial Public Offering (IPO) of Shadowfax is expected to be in the range of Rs 2,000-2,500 crore.

The public issue comprises a mix of fresh issue of shares and offer for sale (OFS) by existing shareholders. The company is expected to be valued around Rs 8,500 crore, they added.

The company plans to utilise the proceeds from the fresh issue towards enhancing capacity, driving growth, and further investments in the company’s network business, as per the sources.

In February this year, the company had raised funds at an approximate valuation of Rs 6,000 crore. Bengaluru-based Shadowfax is backed by marquee investors such as Flipkart, TPG, Eight Roads Ventures, Mirae Asset Ventures and Nokia Growth Funds. The e-commerce segment is the major revenue contributor, accounting for around 75 per cent of the business and the remaining comes from quick commerce and hyperlocal deliveries.

Founded in 2015 by IIT Delhi alumni Abhishek Bansal, Vaibhav Khandelwal, Praharsh Chandra, and Gaurav Jaithliya, the company stands as one of India’s leading logistics service provider for e-commerce express parcel and value-added services.

With a robust distribution network covering over 2,200-plus cities and more than 14,300 PIN codes, Shadowfax has established itself as a market leader in the logistics industry.