Startup Originals Team
Bengaluru-based Shadowfax Technologies, a leading logistics startup, is making headlines after securing board approval to raise up to Rs 2,000 crore (about $232 million) through an initial public offering (IPO) planned for later this year. This move marks a significant milestone for the fast-growing company as it prepares to enter the public markets.
Details of the Upcoming IPO:
Shadowfax’s board approved the IPO plan on June 24, 2025. The offering will include two key components:
- Fresh equity issue of Rs 1,000 crore
- Offer for sale (OFS) of Rs 1,000 crore
The company filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) earlier this month via the confidential pre-filing route, a process becoming more popular among Indian startups seeking privacy during early reviews.
Top financial advisors, including ICICI Securities, JM Financial, and Morgan Stanley, have been appointed to guide Shadowfax through the public issue.
Company Background:
Founded in 2015 by Abhishek Bansal, Vaibhav Khandelwal, Praharsh Chandra, and Gaurav Jaithliya, Shadowfax Technologies has rapidly grown into a robust player in India’s last-mile delivery ecosystem. The company serves a wide array of clients, such as e-commerce companies, direct-to-consumer (D2C) brands, and hyperlocal businesses.
Its services span:
- Reverse logistics
- Time-sensitive parcel exchanges
- On-demand delivery solutions for items ranging from food and groceries to medicines
Board Restructuring and Governance:
Ahead of the IPO, Shadowfax revamped its board structure to comply with listing norms and bolster governance. Notable changes include:
- Co-founders Praharsh Chandra and Gaurav Jaithliya were inducted as whole-time directors.
- Former IPS officer Dinkar Gupta joined as an independent director.
- Industry veterans such as Bijou Kurien, Ruchira Shukla, and Pirojshaw Sarkari were appointed, reflecting a broader push for experienced and independent oversight among IPO-bound startups.
Financial Performance:
Shadowfax recently showcased a substantial financial turnaround:
- Net losses reduced by 91.7%, from Rs 142.6 crore in FY23 to Rs 11.8 crore in FY24.
- Operating revenue jumped 33.2% to Rs 1,884.8 crore in FY24, compared to Rs 1,415.1 crore the previous year.
These impressive numbers underline the company’s improving operational efficiency and growth trajectory.
Investor Backing and Valuation:
Since inception, Shadowfax has raised over $246 million from prominent investors like Eight Roads Ventures, Flipkart, NewQuest Asia, and Qualcomm. Earlier this year, the company was valued at around Rs 5,981 crore following a $16.8 million Series F funding led by Mirae Asset and Nokia Growth Partners.
With the upcoming IPO, Shadowfax is reportedly targeting a post-issue valuation near Rs 8,500 crore (about $1 billion), a substantial leap reflecting its growth and market position.
Shadowfax’s IPO highlights its ambitions to solidify its presence in the Indian logistics sector and signals the company’s readiness for the next phase of its journey, backed by strong financials and experienced leadership.
