Shadowfax to soon hit Dalal Street; files updated DRHP to raise Rs 2,000 crore via IPO

Bengaluru-based logistics startup Shadowfax Technologies has filed an updated draft red herring prospectus (UDRHP) with the Securities and Exchange Board of India (SEBI) to raise up to Rs 2,000 crore through an initial public offering (IPO). 

The proposed issue will include a fresh share sale worth Rs 1,000 crore and an offer-for-sale (OFS) of up to Rs 1,000 crore, allowing several existing investors to partially offload their holdings.

Selling shareholders include Flipkart Internet (owned by Walmart), Eight Roads Investments Mauritius, TPG’s NewQuest Asia Fund, Nokia Growth Partners, Mirae Asset, Qualcomm, International Finance Corporation (IFC), and Snapdeal co-founders Kunal Bahl and Rohit Bansal.

Shadowfax said the UDRHP-I will remain open for public comments for at least 21 days from the date of filing. Depending on the feedback received and SEBI’s observations, the company may file UDRHP-II before submitting the red herring prospectus (RHP) with the Registrar of Companies. 

Notably, the market regulator had earlier approved Shadowfax’s confidentially filed DRHP on October 7, 2025. 

Founded in 2015 by Abhishek Bansal, Vaibhav Khandelwal, Praharsh Chandra, and Gaurav Jaithliya, Shadowfax operates a nationwide technology-driven logistics network serving e-commerce, grocery, food, and medicine deliveries across more than 14,000 pin codes.

The company claims to have over 1.25 lakh monthly active delivery partners, making it one of India’s largest last-mile logistics networks. According to the UDRHP, promoters hold 20.26% of the company’s shares, while 79.74% is owned by public shareholders, including Flipkart Internet, NewQuest Asia Fund, and Eight Roads Investments Mauritius, each with more than 14% stake.

The company plans to deploy Rs 423.4 crore from the fresh issue to expand its network infrastructure, Rs 138.6 crore toward lease payments for new first-mile, last-mile, and sortation centers, and Rs 88.6 crore for branding and marketing. The remaining proceeds will be used for potential acquisitions, technology upgrades, and general corporate purposes.

For the first half of FY26, Shadowfax reported a net profit of Rs 21 crore, up 113.9% from Rs 9.8 crore in the same period last year, while revenue surged 68.4% to Rs 1,805.6 crore from Rs 1,072 crore. The company processed 29.4 crore orders during this six-month period, reflecting a 50.11% CAGR over the previous year. 

In FY25, it recorded revenue of Rs 2,485 crore and a net profit of Rs 6.4 crore, marking a turnaround year. The IPO will be managed by ICICI Securities, Morgan Stanley India Company, and JM Financial.