IPO Ahead: Flipkart-Backed Shadowfax Plans Rs 2,500 Crore Maiden Offer Via Confidential Route

Logistics service provider Shadowfax Technologies has filed for an initial public offering (IPO) through a confidential pre-filing route, with an aim to raise Rs 2,000-2,500 crore, industry sources familiar with the development said.

The company could be valued at around Rs 8,500 crore, they added.

The IPO is a mix of fresh issue and an offer-for-sale (OFS) by existing shareholders.

In a public announcement on Tuesday, Shadowfax Technologies said it has "pre-filed draft red herring prospectus with Sebi and the stock exchanges...in relation to the proposed initial public offering of its equity shares on the main-board of the stock exchanges".

The company plans to utilize the proceeds of the fresh issue towards enhancing capacity, driving growth, and further investments in the company's network business, the sources said.

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 company's business and the remaining comes from quick commerce and hyperlocal deliveries.

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In its last fundraise in February, the company garnered a primary and secondary capital at an approximate valuation of Rs 6,000 crore.

Shadowfax is India's leading logistics service provider for e-commerce express parcel and value-added services. It has a distribution network covering over 2,200 cities and more than 14,300 PIN codes.

The company has opted for the confidential pre-filing route, which allows it to withhold public disclosure of IPO details under the draft red herring prospectus (DRHP) until later stages. This route is gaining traction among Indian firms aiming for flexibility in their IPO plans.

In recent months, Gaja Alternative Asset Management, commerce enablement platform Shiprocket, Tata Capital, edtech unicorn PhysicsWallah and Imagine Marketing, the parent company of wearables brand boAt, also chose confidential filings. In 2024, food delivery giant Swiggy and retail chain Vishal Mega Mart floated their IPOs following similar filings.

Market experts note that the confidential pre-filing route offers companies greater flexibility and reduces the pressure to go public quickly. Unlike the traditional route, which requires companies to launch their IPOs within 12 months of receiving Sebi's approval, the pre-filing route extends this window to 18 months from the receipt of final comments.

Additionally, firms can modify the primary issue size by up to 50 per cent until the updated DRHP stage. 

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