Now Reading: Upstox begins IPO talks, eyes $400 million public issue
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Upstox begins IPO talks, eyes $400 million public issue
Online stockbroking platform Upstox has begun preliminary discussions with investment banks for a potential initial public offering (IPO), which could raise around $400 million (about Rs 3,800 crore) through a combination of…
Online stockbroking platform Upstox has begun preliminary discussions with investment banks for a potential initial public offering (IPO), which could raise around $400 million (about Rs 3,800 crore) through a combination of fresh shares and an offer for sale (OFS). The company is expected to appoint advisers soon, though the discussions are at an early stage and the size and timing of the issue could change. Upstox declined to comment on the development.
If listed, Upstox would become the second major new-age stockbroking platform to go public after Groww, which raised Rs 6,630 crore through its IPO in November last year. The proposed listing comes as India's retail investor base expands, with the number of unique registered investors on the NSE crossing 13 crore in April 2026. Upstox was India's fifth-largest brokerage by active clients in July, with 18.61 lakh users, according to NSE data.
Upstox entered the unicorn club in 2021 at a valuation of around $3.5 billion. Tiger Global, its largest shareholder with a 38.5% stake as of September 2025, first backed the brokerage in 2019. The platform has also expanded beyond stockbroking into insurance distribution and recently received regulatory approval to operate as a broker-dealer from GIFT City, which could enable investments in US and other international stocks.
Indian Opinion Analysis
Upstox's IPO push follows a wave of Indian fintech listings, with Groww's successful debut setting a benchmark. Tiger Global's 38.5% stake, valued at roughly $1.3 billion at the 2021 unicorn valuation, gives the firm a strong incentive to seek an exit, though the $400 million target is modest relative to that valuation. The key question is whether the market will price Upstox at a discount to its 2021 peak, given that active client numbers lag behind Groww and Zerodha. The GIFT City approval adds a potential differentiator, but regulatory clarity on international stock trading for retail investors remains limited. Watch for the draft red herring prospectus filing, expected in the next few months, which will reveal the final offer size and valuation expectations.
Source: inc42.com
This story was synthesised by AI from the source linked above.
