By Diwali Next Year, InCred Financial Services Plans to Launch an INR 5,000 crore IPO

Nitin Konde, Varun Bhardwaj

Dec 18, 2024 — 2 min read

InCred Aims for a Diwali 2025 INR 5,000 Crore IPO Launch

According to reports, fintech unicorn InCred Financial Services has started the process of going public and intends to generate between INR 4,000 Cr (about $470 million) and INR 5,000 Cr (roughly $590 million) through an initial public offering (IPO) in the latter part of next year. According to a source cited by various media reports, the fintech giant InCred Finance is considering a valuation between INR 15,000 Cr (about $1.78 billion) and INR 22,500 Cr (around $2.6 billion). By January 2025, the business intends to select merchant bankers to lead its public offering. According to reports, "the company wants to launch a Diwali 2025 initial public offering and aims to appoint four banks by January." An offer for sale (OFS) component is also anticipated to be included in the IPO, allowing investors to sell their firm shares and record returns. Notably, in September, Bhupinder Singh, the founder and group CEO of InCred, stated that the fintech startup would only list on the stock exchanges if KKR, a prominent global private equity (PE) firm that owns 13.4% of the company, agreed to sell its position during the initial public offering (IPO).

Entering the Unicorn Club

A year after InCred announced that its lending division had joined the exclusive unicorn club after raising $60 million in its Series D round, which was led by Ranjan Pai of Manipal Education and Medical Group, the company decided to list on stock exchanges. As a fierce funding winter dried up money across the startup ecosystem, InCred became one of only two firms (the other being Zepto) to become unicorns in 2023, with a $1.04 billion fundraising campaign.

InCred’s Business Operations

Bhupinder Singh founded InCred Group in 2016, and through its three distinct verticals, it operates in the banking, financial services, and insurance (BFSI) industry. InCred Finance and InCred Capital are the loan and wealth and asset management verticals, respectively, while InCred Money deals in retail bonds and alternative investments. In addition, InCred has investors including Moore Capital, Elevar Equity, Investcorp, OAKS, and Abu Dhabi Investment Authority (ADIA). At the conclusion of the fiscal year 2023–24 (FY24), InCred Finance reportedly had assets under management (AUM) of INR 9,039 Cr, up 52% year over year (YoY). In FY24, InCred's consolidated net profit increased 162% to INR 316.3 Cr from INR 120.9 Cr the year before. Operating revenue increased from INR 864.6 Cr in FY23 to INR 1,270 Cr, a 47% increase.

With the IPO, InCred reaches a major milestone and establishes itself as a prominent player in the fintech and NBFC sectors in India. The company hopes to attract market attention for its eagerly awaited public debut in 2025 with its robust financial performance, diversified business plan, and support from international investors.