Softbank-backed FirstCry, Ola Electric to launch IPO soon: All you need to know before subscribing
As the mega-IPO month continues, two startup firms FirstCry and Ola Electric are set to file their IPO paperwork, planning to launch their issue soon.
E-vehicle startup Ola Electric and childcare supply company FirstCry, both backed by investor SoftBank, are all set to file their draft IPO paperwork soon. This means that their initial public offering (IPO) could be launched in the beginning of 2024.
Both the firms - Ola Electric and FirstCry - are planning to file the IPO paperwork by next week, reported Moneycontrol. This comes after SoftBank reported that the valuation of both the firms have increased, leading to optimism by the investors.
"FirstCry is looking to raise $500 million and 60 percent of that will be the offer for sale (OFS) component while the remaining will be the primary part," a source quoted by Moneycontrol said.
FirstCry and Ola Electric IPO: Tentative date, issue size and all you need to know
It is expected that the FirstCry IPO will be listed after the Lok Sabha Elections of 2024, while Ola Electric has already begun conducting meetings with international and domestic investors, planning to launch its IPO much sooner.
Moneycontrol reported that Ola Electric is planning to launch the IPO in the early months of 2024, before FirstCry. It was also stated in the report that Ola Electric has roped in Kotak Mahindra Capital and Goldman Sachs for its issue launch.
Ola Electricity is planning to launch its IPO to further expand its capital in an effort to spike EV sales and set up India's first lithium-ion cell manufacturing facility in Krishnagiri, Tamil Nadu.
Further, it is expected that the valuation of e-commerce platform FirstCry will be reported as USD 4 billion at the time of the IPO launch, and the issue size will be around $500-600 million. Notably, Firstcry will be the second large e-commerce company to launch its IPO after Nykaa.
Through the IPO, SoftBank is planning to dilute its shares in FirstCry below 26 percent. Meanwhile, the exact issue size and estimated date will be known by December 29, when the firms will file their IPO draft.