Groww IPO Opens for Subscription: Fintech Giant Aims to Raise ₹6,632 Crore with Strong Market Buzz

November 4, 2025 Comments (0) 6 Mins Read

Author: Dev Patel | EQMint | IPO News

Mumbai, November 4, 2025 — The much-awaited Groww IPO 2025 — the initial public offering of Billionbrains Garage Ventures Ltd, better known as Groww — opened for public subscription today. The fintech unicorn, one of India’s most profitable new-age startups, aims to raise ₹6,632.30 crore through a combination of fresh issue and offer for sale (OFS). The issue will remain open until November 7, 2025.

Groww, headquartered in Bengaluru, has set its price band at ₹95–₹100 per equity share, valuing the company at around ₹61,700 crore (approximately $7.4 billion) at the upper end. The offering marks one of the largest IPOs in India’s fintech sector in recent years, coming amid a revival in public market appetite for digital and financial technology companies.

Strong Market Debut Anticipation

According to market observers, the Groww IPO grey market premium (GMP) today stands at ₹17, indicating a potential listing price of around ₹117 per share — translating into an estimated 17% listing gain for investors.

The public issue size includes a fresh issue worth ₹1,060 crore, while the remaining ₹5,572.30 crore will be raised via an offer for sale (OFS) by existing investors, including Peak XV Partners, Ribbit Capital, YC Holdings, Internet Fund, and other early backers.

The company has reserved:

75% of the IPO for Qualified Institutional Buyers (QIBs),

15% for Non-Institutional Investors (NIIs), and

10% for Retail Individual Investors (RIIs).

Retail investors can bid in multiples of 150 shares per lot, with a minimum investment of ₹15,000 at the upper end of the price band.

The IPO’s anchor book, worth ₹3,000 crore, saw overwhelming demand earlier this week — reportedly 15 times oversubscribed — with participation from leading investors such as SBI Mutual Fund, Sequoia Capital, Dragoneer Investment Group, and Coatue Management.

Subscription Status and Key Dates

As of 11:30 AM on Day 1, the Groww IPO had been subscribed 0.17 times overall, with the retail category leading at 0.71 times and NII participation at 0.17 times. Analysts expect institutional participation to rise significantly by the second day, given the strong anchor response.

Key details for investors:

IPO Subscription Period: November 4–7, 2025

IPO Price Band: ₹95–₹100 per share

Lot Size: 150 shares per lot

Registrar: MUFG Intime India Pvt. Ltd.

Lead Managers: Kotak Mahindra Capital, JP Morgan India, Citigroup Global Markets India, Axis Capital, and Motilal Oswal Investment Advisors

Basis of Allotment: Expected on November 8, 2025 (may shift to November 10 if delayed)

Listing Date: Tentatively November 12, 2025, on BSE and NSE

Company Overview

Founded in 2017, Groww began as a mutual fund investment platform and has since evolved into a full-fledged digital investment and broking ecosystem, allowing users to trade in stocks, mutual funds, ETFs, futures, options, and IPOs through a single app interface.

The platform boasts over 14.38 million active users, making it one of the largest investment platforms in India, ahead of several legacy brokers. Groww’s user-friendly design, commission-free mutual fund offerings, and direct-to-customer approach have been key factors in its meteoric rise.

In FY25, Groww reported revenues of ₹4,056 crore and net profit of ₹1,899 crore, translating into impressive net margins of 44.85% — a rare feat among Indian fintech startups.

Expert Opinions: Subscribe for Long-Term Gains

Market analysts have expressed cautious optimism about the issue, with most recommending a “subscribe” rating — particularly for long-term investors.

“The Groww IPO price band fixed at ₹95–₹100 per share values the firm at around ₹61,700 crore. It’s a well-positioned, profitable fintech with a 26% market share. Investors may subscribe for listing gains,” said Anuj Gupta, Director at Ya Wealth.

He, however, noted that the broking industry faces headwinds from regulatory tightening by SEBI, which could affect margins in the short term.

Echoing a more long-term view, Shivani Nyati, Head of Wealth at Swastika Investmart, said,

“Groww is a direct-to-customer digital investment platform with robust financial growth. Despite a minor dip in FY24 due to one-time tax adjustments, its fundamentals remain strong. The IPO appears fairly valued, and prudent investors can consider it for medium to long-term investment.”

Industry Context and Growth Outlook

The online broking and wealth-tech industry in India has undergone explosive growth over the past five years, driven by digital adoption and rising retail participation. Groww competes with major players like Zerodha, Angel One, and Upstox, yet differentiates itself through simplicity and strong brand recall among millennials and first-time investors.

Despite increasing regulatory oversight and margin restrictions, analysts believe the industry remains structurally strong, supported by:

A rising number of demat accounts (now exceeding 170 million in India),

Expanding financial literacy, and

Growing mutual fund SIP inflows.

Groww’s focus on product diversification — including loans, credit products, and insurance distribution — also signals its intent to become a full-stack financial platform.

“The company’s profitability, diversified model, and consistent user acquisition put it in a strong position. Even at a P/E multiple of 33.5x, it offers growth visibility in the evolving digital financial ecosystem,” said a Mumbai-based equity analyst.

Financial Utilization

Groww plans to use its fresh issue proceeds as follows:

₹225 crore for brand building and marketing,

₹152.5 crore for cloud infrastructure and technology upgrades,

₹205 crore for capital infusion into Groww Creditserv Technology, its NBFC arm, and

₹167.5 crore to expand its margin trading facility via subsidiary Groww Invest Tech.

The remainder will go toward strategic acquisitions and general corporate purposes.

Investor Sentiment and Listing Outlook

Given its strong fundamentals and massive retail appeal, the Groww IPO has generated significant buzz on social media and among retail investors. However, experts caution against over-expectation in the short term due to moderate market volatility and sectoral regulatory headwinds.

Still, the positive grey market premium (GMP) of ₹17 reflects healthy optimism for listing day. If momentum sustains through institutional inflows, Groww could see double-digit listing gains, mirroring the success of recent fintech debuts.

Conclusion

The Groww IPO 2025 represents a defining moment for India’s fintech sector — combining profitability, strong brand visibility, and scalable technology. While short-term returns may hinge on market conditions, Groww’s robust financial performance and leadership in the digital investing space make it a compelling long-term bet.

As India’s capital markets deepen and more retail investors participate digitally, Groww’s growth trajectory could mirror the rise of India’s financial inclusion story itself — bold, data-driven, and distinctly homegrown.

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Disclaimer: This article is based on publicly available information, analyst commentary, and market data. It is intended for informational purposes only and does not constitute investment advice. Investors are advised to consult certified financial advisors before making any investment decisions.