No startup’s too small to IPO in a bull market
Subscribe to enjoy similar stories. Bengaluru/Mumbai: Venture capital investors are increasingly encouraging some of their early- to mid-stage portfolio startups, such as IntrCity, BHive, and Leverage Edu, to go public, hoping to take advantage of a bullish stock market and return capital to their investors.
Mobility startup IntrCity is in early discussions with investment bankers for an initial public offering likely in the third quarter of next year, a person with direct knowledge of the matter told Mint. The company intends to raise $250 million from the IPO, which will entail a large secondary component where early investors sell some of their stake to institutional buyers, the person said.
“The suggested timelines and public offering numbers is one option for us among several others," IntrCity’s co-founder Manish Rathi said, adding that the firm is also evaluating other options with private and public investors. “We continue to seek inputs from all investment sources as the best path forward for us." IntrCity, which also operates RailYatri and SmartBus ticketing platforms, says it has been profitable since mid 2022-23.
The company, founded in 2011, has so far raised about $30 million from investors including Blume Ventures, Infosys Ltd co-founder Nandan Nilekani’s family trust, and Omidyar Network, and was last valued at $110 million, according to data from Tracxn. India offers more relaxed rules for companies to go public—requiring at least $100 million in revenue as compared to the US, which mandates at least $250-300 million—allowing startups to launch IPOs much earlier in their growth phase.
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