Shadowfax Technologies Limited, India's fastest growing technology-led third-party logistics (3PL) company, is set to launch its initial public offering worth ₹650.64 crores on January 20, 2026. The company facilitates digital commerce across 14,758 Indian pin codes and serves enterprise clients including e-commerce, quick commerce, food marketplace, and on-demand mobility companies through its comprehensive logistics network.

Strong Financial Performance and Growth Trajectory

Shadowfax Technologies has demonstrated remarkable growth, expanding its e-commerce shipment market share from approximately 8.00% in FY2022 to approximately 21.00% in Q1 FY2026. The company's financial performance shows consistent revenue growth with improving profitability metrics.

The company achieved a revenue CAGR of 32.66% between FY2023 and FY2025, turning profitable in FY2025 with a net profit of ₹6.43 crores after incurring losses in previous years.

IPO Details and Timeline

The public offering comprises entirely of fresh issue shares worth ₹650.64 crores, with no offer for sale component. The subscription window opens on January 20, 2026, and closes on January 22, 2026, followed by allotment on January 23, 2026, and listing on January 28, 2026.

Use of IPO Proceeds

The company plans to utilize the IPO proceeds across four key areas to strengthen its market position and expand operations.

Market Position and Operational Scale

Shadowfax Technologies operates as the only 3PL company of scale in India offering both end-to-end e-commerce delivery and last-mile delivery for quick commerce. The company maintains the largest 3PL provider position in India for value-added services by order volume as of FY2025.

Key Operational Metrics (as of September 30, 2025):

• Pin codes served: 14,758
• Touchpoints: 4,299
• Operational space: 3.50 million square feet
• Average quarterly unique transacting delivery partners: 205,864
• Cities covered: 2,300+
• Total employees: 4,472 permanent + 17,182 contractual

The company provides express forward parcel deliveries, reverse pickups, hand-in-hand exchange deliveries, prime deliveries, quick commerce, and hyperlocal services through its extensive network infrastructure.

Risk Factors and Investment Considerations

Despite strong growth metrics, the company faces several operational and financial risks. Client concentration remains a significant concern, with the largest client contributing 48.91% to 59.52% of revenue across different periods, while the top five clients contributed 74.11% to 84.96% of total revenue.

Key Risk Areas:

• High dependence on crowdsourced delivery partners without exclusive arrangements
• Complete reliance on leased facilities across 3.50 million square feet of operational space
• Heavy dependence on technology infrastructure requiring annual capex of ₹61.18 to ₹228.18 million
• Exposure to e-commerce industry fluctuations, with 68.60% to 91.66% revenue from express and hyperlocal services

The company's balance sheet shows significant growth in total assets from ₹442.73 crores in FY2023 to ₹1,259.26 crores in FY2025, reflecting substantial business expansion and infrastructure investments during this period.

Shadowfax Technologies Limited, India's fastest-growing technology-led third-party logistics (3PL) company, is set to launch its initial public offering from January 20-22, 2026, with a total issue size of ₹650.64 crores. The company has established itself as a dominant player in India's logistics ecosystem, serving enterprise clients across e-commerce, quick commerce, food marketplace, and on-demand mobility segments through its extensive network covering 14,758 Indian pin codes.

Strong Financial Performance and Growth Trajectory

Shadowfax has demonstrated remarkable financial growth over the past three years, with revenue from operations expanding at a compound annual growth rate of 32.6%. The company's financial performance shows consistent improvement across key metrics:

The company has successfully transitioned from losses to profitability, with profit before tax improving from negative ₹142.64 crores in FY2023 to positive ₹6.06 crores in FY2025. In Q2 FY2026, profit before tax reached ₹21.04 crores, representing a significant improvement in operational efficiency.

Market Leadership and Operational Scale

Shadowfax has expanded its e-commerce shipment market share from approximately 8% in FY2022 to approximately 21% in Q2 FY2026, establishing itself as the largest 3PL provider in India for value-added services by order volume. The company operates through an extensive infrastructure network that includes:

The company's unique positioning as the only 3PL of scale in India offering both end-to-end delivery for e-commerce and last-mile delivery for hyperlocal use cases provides significant competitive advantages. Shadowfax operates India's largest crowdsourced last-mile delivery fleet among 3PL e-commerce players, enabling flexible and scalable operations.

IPO Proceeds Utilization Strategy

The ₹650.64 crores raised through the fresh issue will be strategically deployed across three primary areas to support continued growth and market expansion:

The largest allocation toward network infrastructure will fund middle mile and last mile network expansion, automated sortation centers with cross-belt sorters, IT infrastructure upgrades, and asset procurement. The facility expansion component will establish new first mile centers, last-mile centers, and sort centers to increase pin code coverage and service capabilities.

Technology-Driven Business Model

Shadowfax leverages proprietary technology platforms to manage its diverse service offerings, including express forward parcel deliveries, reverse pickups, prime deliveries, quick commerce solutions, and on-demand hyperlocal deliveries. The company's technology infrastructure enables efficient management of its extensive delivery partner network while maintaining operational excellence across multiple service verticals.

The company has been certified as a Great Place to Work for the periods October 2023-2024 and April 2025-2026, reflecting strong organizational culture and employee satisfaction. Founded in 2015, Shadowfax is led by an experienced management team including CEO Abhishek Bansal, CTO Vaibhav Khandelwal, and COO Praharsh Chandra.

Financial Position and Cash Flow

As of September 30, 2025, Shadowfax maintains a solid balance sheet with total assets of ₹1,453.16 crores and total equity of ₹693.53 crores. The company's cash flow profile has shown improvement, with operating cash flow of ₹140.89 crores in Q2 FY2026, demonstrating the business model's ability to generate positive operational cash flows.

Investment Timeline and Listing Details

The IPO follows a compressed timeline with the issue opening on January 20, 2026, and closing on January 22, 2026. Allotment is scheduled for January 23, 2026, with listing expected on January 28, 2026. This timeline reflects strong market conditions and investor interest in India's growing logistics sector.

Shadowfax's IPO represents an opportunity for investors to participate in India's expanding digital commerce ecosystem through a technology-enabled logistics platform with demonstrated growth, improving profitability, and extensive market reach across the country's diverse pin code network.