Shadowfax Technologies Limited is preparing to launch its ₹1,900 crore initial public offering on January 20, 2025, with the price band set at ₹118-124 per share. The logistics services provider has structured the offering as a combination of fresh capital raising and existing shareholder exits, targeting a more conservative valuation approach to attract institutional investors.

IPO Structure and Shareholding Details

The public offering comprises two main components designed to balance growth capital requirements with investor liquidity needs.

Several prominent investors will participate in the offer for sale, including Flipkart Internet, Eight Roads Investments Mauritius II Ltd, NewQuest Asia Fund IV (Singapore) Pte. Ltd, Nokia Growth Partners IV, L.P, International Finance Corporation, Mirae Asset, Qualcomm Asia Pacific Pte. Ltd, and Snapdeal founders Kunal Bahl and Rohit Kumar Bansal.

Fund Utilization and Strategic Initiatives

The company has outlined specific areas for deploying the fresh capital raised through the IPO. The proceeds will support multiple growth initiatives focused on expanding operational capacity and market presence.

Key fund utilization areas include:

• Network Infrastructure Enhancement: Expanding capacity across the logistics network
• Facility Expansion: Funding lease payments for new first mile, last mile, and sort centres
• Marketing and Branding: Supporting communication initiatives and brand building
• Inorganic Growth: Funding unidentified acquisitions
• General Corporate Purposes: Supporting overall business operations

Financial Performance and Market Position

Shadowfax Technologies Limited has demonstrated strong revenue growth momentum in recent periods. The company's financial performance reflects the robust demand in India's e-commerce logistics sector.

The company operates India's leading logistics service provider network for e-commerce express parcel and value-added services, with coverage extending to 14,758 Indian pincodes as of September 2025. This extensive reach positions Shadowfax as a key player in the country's rapidly expanding e-commerce logistics infrastructure.

Business Segments and Revenue Mix

Shadowfax generates revenue through two primary business segments, with e-commerce logistics forming the dominant revenue stream.

Valuation and Market Strategy

The company is targeting a post-market valuation of approximately ₹7,400 crore, which represents a more conservative approach compared to previous estimates of ₹8,500 crore. This strategic pricing decision aims to attract long-term institutional investors and ensure sustainable market performance post-listing. The backing from marquee investors including Flipkart, TPG, Eight Roads Ventures, Mirae Asset Ventures, and Nokia Growth Funds provides additional credibility to the offering.

Logistics services provider Shadowfax is preparing to launch its ₹1,900 crore initial public offering next week, targeting a conservative valuation of ₹7,400 crore. The company is expected to announce the price band for its maiden public offering this week, marking a significant milestone for the e-commerce logistics sector.

IPO Structure and Valuation

Shadowfax is targeting a post-market valuation of approximately ₹7,400 crore, which represents a more conservative approach compared to previous estimates of ₹8,500 crore. This strategic pricing is aimed at attracting long-term institutional investors and ensuring sustainable market reception.

Existing Shareholders and OFS Participants

The offer for sale component will see several marquee investors and stakeholders offloading their shares. Key participants in the OFS include:

• Flipkart Internet
• Eight Roads Investments Mauritius II Ltd
• NewQuest Asia Fund IV (Singapore) Pte. Ltd
• Nokia Growth Partners IV, L.P
• International Finance Corporation
• Mirae Asset
• Qualcomm Asia Pacific Pte. Ltd
• Snapdeal founders Kunal Bahl and Rohit Kumar Bansal

Fund Utilization and Business Expansion

The proceeds from the fresh issue will be strategically deployed across multiple growth initiatives. The company plans to enhance its network infrastructure capacity and fund lease payments for new first mile, last mile, and sort centres. Additional funds will support branding, marketing, and communication initiatives, along with potential inorganic acquisitions and general corporate purposes.

Financial Performance and Market Position

Shadowfax has demonstrated robust financial growth in recent periods. The company reported revenue of approximately ₹1,800 crore for the first half of FY26, representing a substantial 68% year-on-year increase. Its total revenue stood at ₹2,485 crore in FY25.

Business Segments and Market Share

The company operates across multiple logistics segments with diversified revenue streams. The e-commerce express parcel segment serves as the primary revenue contributor, accounting for approximately 70% of the company's business. Hyperlocal and quick commerce logistics contribute around 20% of total revenue.

Shadowfax has significantly expanded its market presence, with its express parcel market share rising to about 21% in Q1 FY26, up sharply from around 8% in FY22 according to Redseer data. The company maintains a comprehensive service network covering 14,758 Indian pincodes as of September 2025.

Regulatory Approval and Market Entry

The company filed draft papers in late June with Sebi through a confidential pre-filing route and received regulatory approval in October. Following the approval of its updated draft red herring prospectus, Shadowfax is now positioned to proceed with its public market debut. The confidential pre-filing route has provided the company with flexibility in its IPO planning while maintaining discretion over public disclosure until later stages.