new Delhi: According to media reports, Flipkart co-founder Sachin Bansal’s financial services firm, Navi Technologies, is planning to raise Rs 4,000 crore in fresh capital through an initial public offering (IPO).
The report, quoting sources, said Navi is expected to file its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) this week. The listing could happen during the first quarter of the next financial year. Sources said the company will use the money to boost growth.
ICICI Securities, BofA and Axis Capital are the investment banks handling the company’s share sale.
Navi Technologies, co-founded and promoted by Bansal, is a tech-driven financial products and services firm. Its major offerings include personal loans, housing loans, general insurance and mutual funds.
The company was founded in 2018, with its digital-first approach trying to disrupt the businesses it operates. It has launched Exchange Traded Funds (ETFs) with the lowest fee structure in the mutual fund space. In personal loans, the firm provides instant loans up to Rs 20 lakh through a completely paperless process.
Navi had acquired Chaitanya India Fin Credit in 2019 for Rs 739 crore and forayed into the microfinance segment. Chaitanya had also applied for a Universal Banking License from the Reserve Bank of India. Navi’s loan book size is around Rs 3,500 crore.
Navi MF acquired the assets of Essel MF in 2021. Data from Association of Mutual Funds in India shows that Navi MF has assets of Rs 930 crore as of December quarter.
Navi Technologies turned profitable in FY 2011. It earned a consolidated profit of Rs 71 crore with total income of Rs 780 crore and expenditure of Rs 673 crore.
Bansal has so far invested around Rs 4,000 crore in Navi Technologies.