NewsIPOShadowfax IPO Attracts Norges Bank, HSBC, and Leading Domestic Institutions as Anchor InvestorsShadowfax IPO Attracts Norges Bank, HSBC, and Leading Domestic Institutions as Anchor Investors
Shadowfax Technologies has successfully allocated its ₹850 crore anchor book with strong participation from foreign institutions like Norges Bank and HSBC, alongside domestic investors including ICICI Prudential Life Insurance, Kotak Life Insurance, and mutual funds like Ipru MF and Nippon India MF. All anchor investors subscribed at the upper price band of ₹124 per share, with domestic institutions securing the majority allocation. The IPO, scheduled for January 20-22, comprises ₹1,000 crore fresh issuance and ₹907.20 crore offer-for-sale by existing investors including Flipkart, TPG, and Snapdeal co-founders.
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Shadowfax Technologies' upcoming initial public offering has generated significant interest among institutional investors, with the company's ₹850 crore anchor book allocation attracting participation from major foreign and domestic institutions. The e-commerce enablement platform, backed by Flipkart and TPG, is set to launch its IPO on January 20, closing on January 22, with shares priced in the ₹118-124 range.
Strong Foreign Institutional Interest
The anchor book has secured subscriptions from notable foreign institutional investors, demonstrating international confidence in the company's prospects. Key foreign participants include:
- Norges Bank - Norway's sovereign wealth fund
- HSBC - Global banking giant
All foreign institutional investors have committed to the upper end of the pricing band, reflecting strong demand for the offering.
Domestic Institutional Participation Dominates
Domestic institutional investors have shown particularly strong interest, securing the majority of the anchor book allocation. The domestic participation spans across insurance companies and mutual funds:
| Institution Type | Participants |
|---|---|
| Insurance Companies: | ICICI Prudential Life Insurance, Kotak Life Insurance |
| Mutual Funds: | Ipru MF, Nippon India MF, Motilal Oswal |
IPO Structure and Pricing
Shadowfax's public offering comprises both fresh capital raising and secondary share sales by existing investors:
| Component | Value |
|---|---|
| Fresh Share Issuance: | ₹1,000.00 crore |
| Offer-for-Sale: | ₹907.20 crore |
| Price Band: | ₹118 - ₹124 per share |
| Anchor Subscription Price: | ₹124 per share |
Existing Investor Exit
Several prominent investors will be partially exiting through the offer-for-sale component. The selling shareholders include:
- Walmart's Flipkart Internet
- Eight Roads Investments Mauritius
- TPG's NewQuest Asia Fund
- Nokia Growth Partners
- International Finance Corporation
- Mirae Asset
- Qualcomm
- Snapdeal co-founders Kunal Bahl and Rohit Kumar Bansal
Notably, Kunal Bahl and Rohit Bansal, who co-founded e-commerce platform Snapdeal and established Titan Capital, are positioned to realize substantial gains from their early investment in Shadowfax, with returns exceeding 158 times their initial investment.
Market Positioning
The strong anchor book subscription, particularly the heavy participation from domestic institutional investors at the upper price band, indicates robust market confidence in Shadowfax's business model and growth prospects. The company operates as an e-commerce enablement platform, serving the logistics and fulfillment needs of the rapidly expanding Indian e-commerce sector.
The successful anchor book allocation sets a positive tone for the public portion of the offering, which opens to retail and other investors on January 20.
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